Draft Countersign Template with airSlate SignNow

Draft countersign template

with an exit memo what can be done an exit memo is a technique to basically execute a final documentation at the end so in the beginning when you engage the employee you had the pointment letter or you may have had the employment contract and standing orders may have been applicable now when the employee leaves at the time of exiting on the last day if you get this signed it will ensure that there's a clarity on all company property being returned or digital data of the company being returned there being no dues from the employee to the company there'll be no pending claims or violations against which the employee would have liked to complain and the employer hasn't complained so you take the sign for that OHS then they're being clarity that the employee work for X period in this organisation and the employee will fix that on a social media profile he'll character social media profile and ensure he's not representing to be working in the company okay now these kind of aspects are to be sorted in an exit memo okay so these are the questions we are discussing what is an exit memo why is the document required to which categories of team members and scenarios will you apply it let's let's look at the exit member first and then we will come back to this are you all able to follow so far what what we are referring to are you able to appreciate the relevance of it because in many organizations what happens as you say there's a single one-sided email sometimes that goes then sometimes there's full and final with just the employee sign but then the full ensign final is there but other aspects are missed out so this is a comprehensive all-encompassing legal instrument which ensures that there is absolutely nothing left out I'm gonna share a sample exit memo with you along with your exercise and in your course this is their so let's study an exit memo and figure out what an exit memo contains and then we will discuss some more advanced questions about an incident so it is issued by sure the HR you could also have the signature of the director but the HR head whoever manages HR function can issue this okay on behalf of the company it is issued to the employee who is leaving subject then you acknowledge the employees for their service because it's in a letter style right now there are certain exit formalities that can be executed here now submission of a newly signed resignation letter in case there is a resignation happening right submission of a node you certificate so the employee is counter signing on these to ensure that there are no further payments you that the resignation is being undertaken because tomorrow you don't want an employee to say that you don't want an employee resigned to say that these guys have made it so difficult for me to work that I had to leave you don't want all that nonsense happening right so that is why you can have a very clear process and a documentation sometimes an employee will leave for various reasons this may be miscommunication within the organization but it is clear that both parties are acting out of choice and and one person is not being fired so you don't want these things coming up later and if they come up then you can say that written before not involved the employee had resigned of his own will in accord so there we are not at fault because here there are two kinds of risks for an organization one is a legal risk and also there is a reputational risk the exit memo serves as an instrument even to deal with reputational risk submission of office property so consider this as an example right now when these are submitted it can be countersigned by the HR any office related documents even digital copies then there will be formalities in relation to confidential information or trade secrets so this will have a the process will depend from every organisation and depending on the industry sector now look at this meeting with supervisor or manager and formal handover of all confidential information to the employee in connection with his or her employment and complete the exit formalities associated with such handover right so so in every like if you're in sales or if you're in marketing or if you're in operations the confidential information will differ in its nature and you will the best way to give it is to return it is to meet you're supervising the supervisor and then returning it then identifying in the meeting what are the is living requirements and then handing it over submission of a certificate to ensure come as per the format provided by the company to ensure compliance with the obligations about confidential information so you can have a further letter that the company designs a kind of checklist which says that these are the things to be returned and once the employee does that he can send a certificate he can sign a certificate and furnish it saying that I have returned everything then removal of current employment details of the employee from social networking sites so if the employment ends today then you don't want the employer to say that he's also an employee after the state right now this is the part which is a record of completion of all the past events now then this memo can be an opportunity to remind the employee about any restrictive obligations under the employment agreement so when you look at your study materials also you will find the employment agreement template there and each employment agreement typically has some clauses like a non-compete clause where you cannot where the employee cannot compete with the business of the employer or work in a competing business or start his own business provided this was there in the employment contract if you issue new new guidelines here which were not there in the original contract there can be a problem here okay but whatever was there in the employment contract can be pasted here literally it'll be a cut copy paste and then you will paraphrase it to make it clear and instructional rather than making a technical which often happens in employment agreements so this is a non-compete clause then this one is a clause which prevents you from again working with any of the customers affiliates in vendors for a period of 12 months so non-compete and non solicit both is there that you will not take away any employee of the company to work with you you will not work with vendors of the company so if the company has a design agency you will not give them your own design agency works this problem had happened when I'll give you an example of the situation when Steve Wozniak had himself quit Apple okay at that time Apple used to contain this clause that you will not work with the designers or the suppliers of the company so when he started a new company of his own at that time he had to look for another designer and he could not engage apple's designers to design the logo of the company so this is a common clause which is there in many of many companies employment agreements even consultancy agreements may not then see this is these are varieties of the same kind of agreement in case you engage in any activity or business which is the same or substantially similar without taking written consent then the company has the right to claim damages for losses or expenses which will be decided on a case-to-case basis so one thing you must always remember is that many employment contracts tend to contain clauses which are stretched legally okay they may not be entirely valid like under Indian law post termination restrictions on employment are not considered to be valid only during your employment you can be exclusively employed and prohibited from working with others but unless you are in a very very senior position it is difficult to restrict somebody from working with a competitor even in a big company like Infosys what happened was that when the CEO and CEO over hired like after Narayan Murthy left there was Vishal Sikka and another person who were hired in top positions for them also the non-compete clause stated that you will not work with these four five companies and with everybody else you can work because non-compete creates a very big restriction on an employee and under in here contract act that kind of a restriction is not not considered valid because it is in restraint of trade so now here a non-disclosure of trade secrets and confidential information so you will return confidential information and any copies you will hold and sure is certain you will hold confidential information in strictest confidence you can change the language you can make it simpler you can make it shorter that is all fine if you want to grant exceptions the best way to grant an exception is that take the prior consent of the company that's the best way to do it you will not without the prior written approval use for a benefit or disclose to others any confidential information until such time you return and destroy a confidential information T the company will be entitled to withhold your salary and your monuments or reduce this has to be checked for legal validity depending on the nature of the employee because if you're covered under payment of wages Act and all of that there are special specific dates by which full and final settlement must be done so you will not be able to hold it for your salary or emoluments beyond such period the only thing that can be done is that if the employee doesn't you can incentivize the employee and say that I will do a faster full and final if you return this earlier right and if you fail to have a meeting with the manager supervisor or to all the formal handover the company will initiate legal action against you for breach of contractual obligations now how is it saying this which is the contractual obligation they are talking about assume the employee doesn't sign this he reads this line and refuses to sign this assuming the employee refuses to sign this okay then which is the contractual information we are speaking about we are talking about a contractual obligation under the employment agreement itself which would have stated that all confidential information shall be destroyed on termination of the relationship or return to the company that kind of a contractual obligation would already be there in the employment agreement and this Clause is just referring back to that and communicating to the employee that this is what we will do right the company shall claim damages for loss okay now all this the company can skip but it actually really depends on whether there has been a damage suffered by the company or a loss suffered by the company so that the company will have to prove the entity which claims that we are we are owed damages or if any losses suffered we need to be compensated then the company has to demonstrate that there the loss has been suffered your obligation to maintain confidentiality and security of confidential information remains even after you after your employment with the company ends and continues for so long as such confidential information remains a trade secret we hope that you had a fruitful journey and is fine and then there's the signature so this is what an exit memo looks like [Music]