Purpose
The Termination and Resignation Policy at Growth Climb is designed to ensure a clear, fair, and transparent process for the separation of employment, whether voluntary or involuntary. This policy outlines the procedures for resignation by employees, termination by the company, notice periods, final settlements, and exit formalities, in compliance with Indian labor laws, including the Uttar Pradesh Shops and Establishments Act.
Scope
This policy applies to all employees of Growth Climb, including full-time, part-time, contractual, and temporary staff, working at any location, including remote workers.
Resignation
a) Voluntary Resignation
- Notice Period: Employees who wish to resign are required to provide a written notice to their immediate supervisor or the HR department. The standard notice period is 30 days unless otherwise specified in the employment contract.
- Waiver of Notice Period: In exceptional cases, the company may consider a waiver or reduction of the notice period upon request, subject to approval by the management. Alternatively, employees may be required to pay salary in lieu of the unserved notice period as per company policy.
- Exit Formalities: Upon resignation, the employee must complete the necessary exit formalities, including handing over company property, knowledge transfer, and finalizing outstanding tasks. Failure to do so may result in delays in the final settlement.
b) Immediate Resignation (Without Notice)
- If an employee resigns without serving the notice period and without prior approval from management, the company may deduct an equivalent amount from the employee’s final settlement in lieu of the unserved notice period.
c) Resignation During Probation
- Employees on probation are required to give a 30-day notice if they wish to resign. The company reserves the right to waive or enforce this notice period based on operational requirements.
d) Exit Interview
- An exit interview will be conducted by HR to gather feedback on the employee’s experience, provide final instructions, and clarify any questions regarding final settlement or benefits.
Termination of Employment
a) Termination by the Company
Employment at Growth Climb may be terminated by the company for the following reasons:
- Performance-Related Termination:
- If an employee consistently underperforms or fails to meet performance expectations despite receiving feedback, they may be subject to a Performance Improvement Plan (PIP). If the employee does not demonstrate sufficient improvement during or after the PIP, the company may proceed with termination.
- Notice Period for Termination Due to Performance: The company will provide a 30-day notice period or salary in lieu of the notice period.
- Misconduct or Policy Violation:
- Employees may be terminated immediately without notice in cases of gross misconduct, including but not limited to fraud, theft, harassment, breach of confidentiality, or violation of company policies. Such cases will be investigated thoroughly before action is taken.
- Immediate Termination: In cases of serious misconduct, the company reserves the right to terminate employment without notice or payment in lieu of notice.
- Redundancy or Business Reasons:
- The company may terminate employment due to redundancy, downsizing, restructuring, or any other business-related reasons. In such cases, the employee will be provided with a 30-day notice period or salary in lieu of notice, along with severance pay as applicable.
b) Termination During Probation
- Notice Period During Probation: Employees on probation may be terminated with a 30-day notice period or payment in lieu of notice if their performance or conduct is unsatisfactory.
Notice Period
a) Standard Notice Period
- The standard notice period for both resignation and termination is 30 days unless a different period is stipulated in the employment contract.
b) Payment in Lieu of Notice
- In cases where either the employee or the company wishes to end the employment relationship immediately or reduce the notice period, the party initiating the termination will be required to pay salary in lieu of the unserved notice period.
c) Waiver of Notice Period
- The company reserves the right to waive the notice period, either partially or fully, depending on the situation, such as when immediate replacements are available or business needs do not require the full notice period.
Final Settlement
a) Payment of Dues
Upon termination or resignation, the company will settle all dues owed to the employee, including:
- Unpaid salary for the days worked during the final month of employment.
- Encashment of unused earned/annual leave as per company policy.
- Reimbursement of approved expenses incurred by the employee.
- Any other pending benefits or bonuses, if applicable.
The final settlement will typically be processed within 30 days from the employee’s last working day, subject to the completion of all exit formalities.
b) Deductions from Final Settlement
The following deductions may be made from the employee’s final settlement:
- Any advances or loans provided by the company.
- Salary in lieu of unserved notice period (if applicable).
- Compensation for damage or loss of company property.
- Any other dues owed by the employee to the company.
Exit Formalities and Handover
a) Handover of Duties
- Resigning or terminated employees must ensure a smooth handover of their responsibilities. This includes completing any pending work, transferring knowledge, and training a replacement (if necessary).
b) Return of Company Property
- Employees must return all company property, including but not limited to laptops, mobile devices, ID cards, access cards, documents, and any other equipment issued during employment. Failure to return company property may result in deductions from the final settlement.
c) Access to Company Systems
- On the employee’s last working day, access to all company systems, emails, and confidential information will be revoked. The employee must ensure that all company data has been securely transferred or returned before leaving.
Severance Pay
a) Eligibility for Severance Pay
- Employees who are terminated due to redundancy, downsizing, or restructuring may be eligible for severance pay. The amount of severance will be determined based on the employee’s length of service, in accordance with applicable labor laws and company policy.
b) Gratuity Payment
- Employees who have completed 5 years of continuous service with the company are entitled to gratuity under the Payment of Gratuity Act, 1972. The gratuity amount will be calculated based on the employee’s last drawn salary and years of service.
Legal Compliance
a) Compliance with the Uttar Pradesh Shops and Establishments Act
- Growth Climb adheres to the provisions of the Uttar Pradesh Shops and Establishments Act, which regulates termination, notice periods, and other employment conditions for companies operating within the state.
b) Compliance with Other Relevant Laws
- The company also complies with all other applicable labor laws, including the Industrial Disputes Act, 1947, the Payment of Wages Act, 1936, and the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952, as required for final settlements, severance payments, and benefits.
Grievance Handling
If an employee feels that the termination or resignation process has not been handled in accordance with this policy, they may raise a grievance through the company’s Grievance Redressal Policy. HR will ensure that all concerns are addressed fairly and promptly.
Confidentiality and Non-Disclosure
Upon resignation or termination, the employee must continue to comply with any confidentiality and non-disclosure agreements signed during their employment. Any violation of these agreements after termination will result in legal action.
Conclusion
At Growth Climb, we are committed to ensuring a smooth and respectful separation process for both employees and the company. By following this policy, we aim to protect the interests of all parties involved and maintain compliance with legal requirements.