Rules & Regulations to be considered by Entrepreneurs and HR Personnel

I would first like to share briefly the summary of a case as follows:

At a business firm disputes occurred between a marketing staff & two sales staff with an employer.  The two sales staff with their own wish submitted their resignation letters one month in advance as per rules & regulations.  However, the employer allowed them to resign 15 days ahead due to the decrease in sales. Since they believed that they were dismissed, they were dissatisfied and submitted a complaint letter to the Arbitration Council. 

According to the Arbitration Council’s decision, the two parties negotiated and the employer had to pay the compensation to the two sales staff.

The facts to be considered here for such a case are – whether the employee resigns on his/her own wish or the employer dismisses his/her staff, one-month notification should be made mutually. Consequently, in this case, the employer’s decision of 15 days ahead dismissal is acceptable if both parties agree mutually. In case the employee is no longer needed at the workplace, the employer can dismiss him/her 15 days ahead (instead of one month or 30 days).

Sometimes, it so happens that when an employee finds a better job in another business firm and if he/she is dismissed 15 days ahead, he/she is then satisfied.

As per the above-mentioned case, it can be considered that such an incident occurred due to lack of weaknesses in coordination and communication mutually.  Therefore, the employer had to pay the compensation for having dismissed the two staff before 30 days/one month.