Forums 论坛

Disgruntled
30/07/2009 17:15:46
Re: Calculation of "salary-in-lieu"

My contract with the company states that I can resign from the company giving either a 2 month notice period or salary in lieu. I wish to leave within 2 weeks but do not hv enough annual leave to cover the rest of the notice period. My question is, is there a standard procedure on how the calculation of the payment should be done?

The company HR says that this is considered "short notice" and therefore I have to pay back those 1.5 months that I will not be around, including Saturdays, Sundays and Public Holidays. Is that correct? I've worked in many companies before and have never encountered this ruling. Also it's not stated in our contracts how the calculation of salary-in-lieu works.
Edit | Delete


KL Siew
kl_siew@yahoo.com
30/07/2009 20:15:40
Yes, it is 1.5 months salary you have to pay. For example, your salary is 2000, you should be paying 3000. You may consult the Labour Department if you are still in doubt.
Edit | Delete

Disgruntled
31/07/2009 10:25:56
yup KL, I understand the example you gave. What I'm confused about is when there is annual leave involved. For example I have 20 days of annual leave which by right should be able to cover 4 weeks.

But now that I want to leave after 2 weeks of my 2 month notice, the company is asking me to pay back 45 days. Minus 20 days of my annual leave, I will still have to pay them 25 days. Instead of say using my 20 days of annual leave for 4 weeks and then having me pay for 2 weeks which is only 10 days as compared to earlier 25.
Edit | Delete

KL Siew
31/07/2009 11:07:06
I see. The problem now is that you are going to leave earlier which means short notice. Since you still have 20 days leave balance, you are paying part of the short notice with your leave balance instead of money. Had you decided to work through the 2 months notice and then take your 20 days annual leave balance during the period, that would have made quite a difference like what you are trying to say. That's how I look at it and why not you also pique the brain of the Labour Department about your argument?
Edit | Delete

Anna
03/08/2009 10:18:25
I've always thought that the total no. of working days a month is 26days. Shouldn't it be 26+13=39days for 1+1/2months? Then if you deduct 20 days of your annual leave then you shd pay for 39-20=19days?
Edit | Delete

Post Response (Feel free to share your experiences)

Name:
Email:  (optional)
Message: