Thursday, December 25, 2014

End of Service Benefits before completion of Notice Period

I have resigned from the company by giving 30 days’ notice (completion date of 5 years), my company is processing my final exit before 5 years to pay lesser ESB. Is it allowed?

Question by Visitor
Please help me on my issue. I filed my resignation and gave one month notice to be exact on October 17, 2014 to complete my 5 years’ service in the company. Yesterday, the management decided to give me final exit within this week it means I will not work anymore until October 17 which is supposed to be my resignation effectivity. Now, they will not give me 66% End of Service calculation they will give me only 33% due to my 5 years is not complete as what they were saying. What are my rights in this situation? Can I consider that they terminate me without cause?

Answer by Steve
If they are trying to play this trick, it is a termination. You have given them one month notice. As per the notice, you are entitled to receive salary and all other benefits up to 17 Oct. If they are processing final exit before this date to play the trick, this is really unfair and must be treated as termination. You should take a stance on it right now; otherwise it will be too late. They should pay you as per resignation and completion of 5 years. If they are not paying you as per resignation and 5 years, second option is to get it as termination. The End of Service Benefits in case of resignation will be less than in case of termination by employer.

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  1. My employer has set a maximum limit of End of Service Benefits to be paid to the employees, is it legal?
  2. My company is not paying me End of Service Benefits after termination claiming that it will be paid at the time of transfer of sponsorship, is it legal?

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