Policy

1. Introduction

 Our employee termination policy describes the methods for terminating employment agreements, guaranteeing clarity and fairness for both the employer and the employee. This policy facilitates the professional management of terminations, whether voluntary or involuntary while adhering to legal standards and preserving a respectful work environment.

2. Purpose

 The goal of this policy is to establish clear and consistent criteria for termination of employment at the company. The employee termination policy guarantees that termination is handled fairly, lawfully, and respectfully, and it specifies the procedures for both voluntary and involuntary terminations.

3. Scope

The employee termination policy applies to all full-time, part-time, or temporary employees.

4.  Policy Statement

Our company is dedicated to fostering a productive and respectful workplace environment. Termination of employees may occur for a variety of reasons, including performance concerns, conduct infractions, organizational changes, or employee-initiated resignation. This policy sets forth the employee termination procedures and considerations for all sorts of terminations.

5. Types of Terminations

5.1. Voluntary Termination

Employees who decide to leave the organization must give written notice to their immediate supervisor and the human resources department. The normal notice time is  2 weeks unless differently stated in the employment contract or corporate policies.

5.2. Involuntary Termination

Involuntary termination occurs when a firm decides to terminate an employee’s job for a variety of reasons, including poor performance, misconduct, a violation of company policy, or organizational restructuring. This type of termination is initiated by the employer and not at the employee’s option.

5.3. Performance-Based Termination

Employees may be terminated for poor performance after getting proper criticism, Performance improvement plans, and the opportunity to improve.

5.4. Conduct-Based Termination

Employees may be fired for violating corporate policies, such as misconduct, ethical breaches, or criminal acts.

5.5. Layoffs and Forced Reductions

This may occur as a result of organizational restructuring, budget cuts, or other business demands.

6.  Termination Procedures

6.1. Voluntary Termination

Employees must send a formal resignation letter to their immediate supervisor and HR, stating their desired last working day.

Exit Interview: HR will schedule an exit interview to collect feedback, handle any outstanding problems, and discuss the return of company property and final pay details, meeting the final paycheck guidelines.

6.2.  Involuntary termination

HR and the relevant department will thoroughly analyze and document the reason for termination, followed by a formal meeting to inform the employee, issue a termination letter, and conclude all compensation and legal procedures. Before the termination process may be completed, the employee must return business property.

6.3. Performance-based termination

HR and the relevant department will conduct a thorough review of the employee’s performance documenting any issues and corrective actions taken. A termination meeting will be set to discuss the grounds for termination to the employee.

6.4. Conduct based termination

An investigation will be conducted to guarantee a fair and thorough examination of the employee’s actions. All disciplinary actions, including warnings and suspensions, shall be documented. A termination meeting will be held to notify the employee of the decision.

6.5. Layoffs and force reductions

Human Resources will guarantee that the procedure adheres to legal requirements and business policy. Affected employees will be notified as quickly as feasible, and HR will provide information about severance packages, unemployment benefits, and outplacement assistance.

7.  Termination Meetings

7.1. Preparation

HR and the relevant supervisor will prepare for the termination meeting by reviewing the employee’s file, recording the reasons for termination, and completing any required paperwork. The meeting will be done in a courteous and private manner. The employee will be informed of the termination decision, including the reason for it and any further measures. The employee will have an opportunity to ask questions and provide feedback

7.2. Documentation

The termination meeting will be recorded, including the reason for termination, the employee’s reaction, and any agreements reached regarding returning the company property and final compensation.

8.  Final Pay and Benefits

Final paycheck: Employees will receive their final paycheck in accordance with applicable Indian labor laws, including the Payment of Wages Act and relevant state-specific regulations. This will include payment for any accrued but unused leave, as per the Industrial Employment (Standing Orders) Act, 1946.

Benefits: HR will offer information on the continuation or termination of benefits, such as health insurance, retirement programs, and any other relevant benefits. Employees will be notified of their rights under the Employee State Insurance (ESI) Act(It was enacted in 1948 and is designed to provide social security and health insurance to Indian workers.) and other applicable legislation.

Employees must return all company property, including keys, electronic devices, and documentation, before leaving. HR will verify the return of all items and disable access to business systems. 

9.  Confidentiality and Non-Disclosure

 Former employees are obligated to follow confidentiality and non-disclosure agreements made during their employment. This includes keeping critical firm information private and avoiding releasing proprietary or secret content.

10.  Appeal Process

 Employees who believe their termination was unfair or erroneous can appeal the decision by filing a written request to HR within a specified period of 7 days following termination. HR will consider the appeal and, if necessary, undertake further investigation.