Boss2966
Industrial Relations
Dmc123
Associate Consultant
+2 Others

Dear All,
I am working as Manager HR in an Organisation ,Factory having 50 employees but due to heavy losses in past to Two year , Management want to shift this Unit to another state like Haryana or UP .Intuc union working in this company .Plz tell us the procedure of termination of job of employees so we can shift this factory to another state and what are the terms which are fullfil by the management before shifting the factory.
Plz advise
Rajendra
22nd July 2012 From India , Kanpur
First of all you must issue a notice to all the employees about the loss of the factory and planning to shut down with reasonable notice period and an option to shift themselves to another factory located at Haryana (Place) or UP (Place).

Whoever interested can submit their willingness and preferential option for choice of location (if required and desired by management), by some date say within 15 days or 1 month. Those whoever not submitted their willingness for relocation, it can be presumed that they are not willing to relocate or shifting and they will have to accept their full and final settlement on completion of their notice period (may be on last working day or within 7 working days on completion of notice period).

For winding up of the factory please approach the factory inspector of your area and consult him. Once he guides you then you need not to do the rework due to unwanted observation from registrar / factory inspector.

For any legal complication arising during and out of winding up of the factory / Trade Union / F&F Settlement of factory workers, you can consult a good lawyer / your company's legal adviser.
23rd July 2012 From India, Kumbakonam
Have a meeting with union and agree settlement plan by either paying Retrenchment benefit of 15days in addition to gratuity and other settlements. If the workers can be given re-location, then option as above is also an option, but better do it with taking union into confidence along with the inspector.
24th September 2012 From India , Panipat
Dear Mr Rajendra,
You can close down the undertaking by issuing closure compensation at the rate of 15 days salary per completed year of service, notice pay of 1 month and other balance dues alongwith letter of termination. Please send a notice of closure to the statutory authorities, union, factories inspector, esi, PF ETC.Please complete all the formalities very discreetly because union might start agitation to block your way.Inform the union last.
1st October 2012 From India , Pune
Dear Mr. Rajendra,
If you are on good terms with the union, you can have a meeting with them and explain all the financial losses caused, which has led you to shift the establishment to another state.Legally, all you need to do is to transfer the employees to that establishment . If they fail to join, then you have to initiate action against them. However for industrial peace it is better to have a negotiated settlement with them if they are not willing to join the new establishment
21st September 2015 From India , Pune
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