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Is Witholding A New Employees First Salary Legal - Career - Nairaland

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Is Witholding A New Employees First Salary Legal by chinyere01: 12:11pm On Aug 26, 2010
An organisation has a policy of withholding the first salary of its staff as collateral in the event of their leaving without notice. This is how it works: when you work somewhere you have to give notice and work during the notice( depending on your contract) or forfeit your salary. Some employees wait till they receive their paycheck at the end of the month and then drop their resignation and don't come back(i admit this is not right or professional)

It is to safeguard against this that some organisations have this policy. The idea is that if you don't give notice, no beef, the org. has your money but if you give notice, they refund your money.I'm told that even MTN does it.

I can understand if it is a job where the organisation gives you lots of goods to sell/handle etc - they normally ask for guarantors in such cases.

Dear nairalanders working in HR, my questions are:

1. is this legal
2. can it be found in any of our labour laws ( quote it for me if so)
3. do you know any major companies that do this.
Re: Is Witholding A New Employees First Salary Legal by Nobody: 4:08pm On Aug 26, 2010
very legal, its called being paid 1 MONTH IN ARREARS and a simple way to make sure that employee finish their employment obligations.
Re: Is Witholding A New Employees First Salary Legal by chinyere01: 10:13am On Aug 27, 2010
which part of the labour law can that be found
Re: Is Witholding A New Employees First Salary Legal by chinyere01: 10:16am On Aug 27, 2010
I know that most employees are so desperate for a job that they don't question such things and then it ends up being accepted as legal because "everyone does it"
Re: Is Witholding A New Employees First Salary Legal by otitokoro1: 12:18pm On Aug 27, 2010
That is Jungle Justice. The fact that big organisations does that here in Nigeria does not make it legal. When you are giving letter of appointment that states your contract terms with the organisation. In that letter, there use to be a clause that can be used to terminate the agreement. Should any of the parties failed in honouring their own part of the agreement, such may be taking up in court. That been as it may, The issue of Refree that you have provided is legal and it is used to trace that person should he/she disapeared to tin air. The Refree will have to produce the person or vicariously liable.

However, Nigeria factor has made so many illegality to look legal because :
1. Massive unemployment is holding many into captivity.
2. Every Nigeria want to take advantagfe of others
3. Judicail system has failed us or are not in place.

If your organisation wants to do that make sure you do it for the less priviledge workers not expertrates or professionals.

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Re: Is Witholding A New Employees First Salary Legal by nanidee(f): 12:57pm On Aug 27, 2010
ehm, well, there are always 2 sides to a coin. I dont know about the legal aspect, but if the oganization is doing that to watch its own back, then I guess,  undecided undecided undecided undecided
Re: Is Witholding A New Employees First Salary Legal by Nobody: 12:10am On Aug 28, 2010
a friend of mine, manager of a London restaurant has the same type of arrangement.
when he leaves that job, a week later he would be paid his last check (UK salaries are paid weekly). . . . . . . . . makes perfect sense and very legal!
Re: Is Witholding A New Employees First Salary Legal by Recruitoo: 4:12pm On Aug 30, 2010
Hello House,

I am sorry for deviating from the main topic, i have 2 years hr consulting experience and desire to move into a practitioner's role. I would appreciate it if there are any HR vacancies i can apply for or you could recommend any organization I could send my cv to.

Regards.

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