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Human Resources: Recruiting, Hiring, and Staffing
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Views: 783
Aug 08, 2007 3:11 pm#

Pallavi Prasade
Dear Fellow Ryzers,


What are employers obligations (esp fiancial liability)in case of termination of employment for non performance of an employee ?

Are there any specific requirements as per Maharashtra State law ?

If the employee is asked to resign immediately instead of termination and he agrees..what is the financial liability of the employer ?



Private Reply to Pallavi Prasade

Aug 09, 2007 1:18 pmre: termination#

Inderpal Singh
Hi, Pallavi,
If the termination is on the basis of non performance but this has been clearly indicated to the employee (mutually agreed upon) based on facts and figures (targets, etc), there is no liability on the employer in financial terms.
Care, however, needs to be taken that these parameters of performance should have been communicated to the employee either during the induction process or with enough time lag to improve on performance.
It could also be mutually agreed upon between the two parties as to the financial terms of separation.

Regards,
Inderpal

Private Reply to Inderpal Singh

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