Staff retenchment
shailesh pandey
(Querist) 14 April 2014
This query is : Resolved
Dear Sirs,
As we are a textile unit . In present recession period there is no order .Management desired to curtail some excess staff as operation is very low .Where 90 looms were running at present only 30 are working.We have asked some staff to submit their resignation. some of them are asking for compensation .In their appointment letter notice period is Three months,though we have Offered for one month notice pay. they are coming on duty.They may issue of being local . Kindly urgently advice what to do ?
regards
s.k.p.
Devajyoti Barman
(Expert) 14 April 2014
Since 3 months notice period is there, you can not curtail it to 1 month notice period. This may lead to labour problem and then labour commissioner case.
Kumar Doab
(Expert) 14 April 2014
Asking for resignation is offence.
Trade Unions can make an issue that you may not be able to handle.
Execute retrenchment by paying proper retrenchment compensation.
ajay sethi
(Expert) 14 April 2014
you will have to pay atleast 3 months pay as per terms of appointment letter . better pay some compensation to avoid legal problems
Kumar Doab
(Expert) 14 April 2014
You have posted many threads. You have been advised properly in all threads.
You have employees unions, you have been negotiated bilateral settlements, and have been contemplating to take steps that should be avoided in companies and in states/locations that are highly unionized.
There might be some error and unions shall pounce on meritorious opportunity.
You may face protracted legal battles, penalties…………..
The management has failed to procure orders.
It wants to retrench for its self centered reasons.
There is nothing called some compensation, or amicable settlement.
You need to convince bosses to pay proper compensation as prescribed in law.
