Employee Absenteeism: What Every Employer Must Know to Stay Ahead

If an employee remains absent without authorization and fails to respond to letters from the management instructing them to resume duty, their services may be terminated. The letters can be sent to the employee’s last known address- Supreme Court of India

In the intricate web of labour law, one of the most sensitive issues is handling employee absenteeism, especially when an employee remains absent without authorization and fails to respond to communications from management.

The legal framework surrounding this scenario provides employers with clear guidelines to act decisively while ensuring compliance with the principles of natural justice.

In this blog, we explore the implications, best practices, and legal precedents for managing such cases, with insights drawn from the rulings of the Supreme Court of India.

Understanding Unauthorized Absenteeism

Unauthorized absenteeism occurs when an employee is absent from work without prior permission or a valid reason.

While occasional absences due to emergencies are understandable, prolonged absenteeism without any communication can disrupt organizational operations, impact team morale, and strain resources.

The legal perspective on unauthorized absenteeism emphasizes the need for a fair and systematic approach by employers.

An abrupt termination without following due process may lead to disputes and legal challenges, potentially resulting in penalties for the employer.

The Role of Communication: Issuing Letters to Absent Employees

When an employee remains absent without authorization, the first step is to establish communication. Employers must:

  1. Send Notices to the Last Known Address: The Supreme Court of India has upheld the importance of sending notices to the employee’s last known address. This ensures that the employer fulfils their duty to inform the employee about the absence and its consequences.
  2. Outline the Consequences Clearly: Each letter should specify the nature of the absence, the breach of company policy, and the potential disciplinary actions, including termination.
  1. Adopt a Progressive Communication Strategy:
    • First Letter: A gentle reminder to resume duty, expressing concern and seeking clarification for the absence.
    • Second Letter: A formal notice highlighting the violation of terms of employment and instructing the employee to report back.
    • Final Warning: A final communication indicating the employer’s intent to terminate services if there is no response or return to duty within a specified timeframe.

By adopting this approach, employers demonstrate adherence to principles of fairness and give the employee ample opportunity to explain their situation.

Legal Precedents: The Supreme Court’s View

The Supreme Court of India has addressed numerous cases concerning unauthorized absenteeism and service termination. The rulings emphasize two critical aspects:

  1. Adherence to Natural Justice: Employers must ensure that employees are given a fair chance to present their side. This includes issuing notices, allowing time for responses, and considering any genuine reasons for the absence.
  2. Termination as a Last Resort: Dismissal should be a proportional response to the employee’s conduct. Courts have often ruled against employers who terminated services without following due process, terming such actions arbitrary and unfair.

In a landmark judgment, the Court held that sending notices to the last known address fulfils the employer’s duty to communicate, even if the employee does not respond.

This ruling underscores the importance of maintaining updated employee records and sending notices through reliable channels, such as registered posts.

Case Example: Life Insurance Corporation of India & Ors. v. Om Parkash

A significant case that sheds light on this issue is Life Insurance Corporation of India & Ors. v. Om Parkash (CA No. 4393/2010, Dt. 13-11-2024).

In this case, the employee remained absent without authorization and failed to respond to repeated communications from the employer.

The Supreme Court upheld the employer’s decision to terminate the employee’s services, noting that the employer had fulfilled their obligation to notify the employee by sending notices to the last known address.

The Court emphasized that termination was justified considering the employee’s continued non-compliance and lack of communication, reinforcing the principle that employers must follow due process but are not required to indefinitely tolerate absenteeism.

Crafting an Effective Absenteeism Policy

To mitigate the risks associated with unauthorized absenteeism, organizations should have a robust absenteeism policy. Key components include:

  1. Clear Definition of Absenteeism: Specify what constitutes unauthorized absence and the threshold for initiating disciplinary action.
  2. Communication Protocols: Outline the steps employees must follow to inform the management about their absence and the documentation required.
  3. Disciplinary Measures: Detail the progressive steps, from verbal warnings to termination, ensuring alignment with labour laws.
  4. Training and Awareness: Educate employees about the policy during onboarding and periodically through workshops and communications.

Practical Tips for Employers

  1. Maintain Accurate Employee Records: Ensure contact information, including address and emergency contacts, is updated regularly.
  2. Use Multiple Communication Channels: In addition to sending letters, consider emails and phone calls to reach out to the employee.
  3. Document Everything: Keep a record of all communications sent to the employee and any responses received.
  4. Engage HR Professionals or Legal Counsel: Seek expert advice to ensure compliance with labour laws and minimize the risk of disputes.

The Employee’s Perspective: Ensuring a Balanced Approach

While employers have the right to address absenteeism, they must also consider the employee’s perspective.

Personal crises, health issues, or unforeseen circumstances may prevent an employee from communicating promptly.

By adopting an empathetic approach and investigating the reasons for absence, employers can build trust and foster a supportive work environment.

A Roadmap to Fair and Legal Termination

Managing unauthorized absenteeism is a delicate balancing act that requires adherence to legal principles, effective communication, and a commitment to fairness.

By sending notices to the employee’s last known address, as upheld by the Supreme Court of India, employers can safeguard their rights while respecting the employee’s dignity.

Ultimately, the goal is not merely to terminate services but to address absenteeism in a manner that aligns with organizational values, legal standards, and human compassion. Through proactive policies and diligent execution, employers can navigate these challenges effectively, ensuring a harmonious workplace for all.

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