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  • Category: Miscellaneous

    Yesterday promotion and today VRS! Is that possible in reality?

    In a ongoing Tamil serial the father who is working in a private company for 33 years got the promotion as General Manager and there would be celebration galore at the home as the promotion was with pay hike also. But the very next day the GM was called by the MD and told that company no more requires elder employees and thus wants to settle the dues immediately with VRS benefits. Just imagine the person has three years to go, one daughter ready for marriage and suddenly asked to go home. Do you think such thing justifiable?
  • #756366
    It happens sometimes that the company offers VRS to employees to reduce their paycheque every month. In this process, they will give some additional amount to the employee who is going to take that option. Generally, in private companies, there is no chance for officers. managers and senior executives will never come under the purview of VRS. When the company appoints them an employment letter will be given to the employees. In that, there will be a rule of the notice period. If the employee wants to resign or the employer wants to remove the employee they have to give advance notice. In case as per my appointment letter, the notice period is 3 months, they should give the employee a notice 3 months before the date of relieving. At the same time If I want to resign, I should submit my resignation three months before the date on which I want to get relieved. If a company is giving VRS benefits to a General Manager means the amount he will get will be fairly good and he need not worry. He can take that amount and join another organisation with a good salary. I don't about government undertakings. They may be giving VRS benefits to Senior executives also.
    drrao
    always confident

  • #756369
    Asking an employee to leave the job and go home will depend on the service conditions in that company. Promotion will be given to an employee depending on his tenure and past performance and will be awarded to him in due course of time to recognise his past services. This is one part of the story.
    Now if the organisation feels that services of some of the senior people are not required then depending on the cut off criteria even the person who got promotion yesterday can be asked to leave the job and go home. Of course he would be provided with the money which is applicable in case of such separation. I do not see anything unusual in this proposition. Only thing is when a company asks an employee to separate out from it then it definitely hurts but it is all in the game.

    Knowledge is power.

  • #756370
    The author has presented the case of a senior executive who has been benefited with the promotion of GM and on the next day, he was asked to have the VRS benefits since the company would not encourage the seniors to stay in the organisation.
    It is indeed a shocking information to the the officer especially when he needs to settle the marriage of his daughter and his retirement is due after three years.,
    This VRS policy seems to be quite contradictory in nature since he was promoted and later he was asked to step down to office with VRS benefits. In the public undertakings, there is a different treatment where the low performers are asked to submit the VRS applications and his application by going through the different desks, he finally is relieved with the existing benefits of VRS.
    If the employee is himself interested for the resignation, he has to apply three months advance for such a process to be effected on his favour and on due date he is relieved. In his case, it is not a worrisome case, on the strength of good records including the recent promotion as GM, he has the fair chance of his absorption in one of the reputed companies provided he responds to such an advertisement.


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