What is the compensation the management has to pay in case if they fire anyone due to poor performance as per the new wage code?

Hi Team ,

Can anyone tell me , what is the compensation the management has to pay in case if they fire anyone due to poor performance as per the new wage code .?

Regards

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Hi Venkatramani,

The new Wages Code doesn’t provide any point explicitly on terminating an employee on the grounds of poor performance. The Code covers the aspect of full and final settlements as mentioned here below:

As per the Code, the employee if –
- Removed or dismissed from service, or
- Retrenched or has resigned from service, or became unemployed due to closure of the
establishment

The wages payable shall be paid within 2 working days.

I am sharing the FAQs here for your reference.

The Code on Wage, 2019 - Frequently Asked Questions (FAQ) (greythr.com)

Hope this helps.

Regards,
Bhuvana Anand

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