Employee Release Form for India

Employee Release Form Template for India

This Employee Release Form is a legally binding document governed by Indian employment law that formalizes the termination of employment between an employer and employee. The document incorporates provisions compliant with various Indian labor laws including the Industrial Disputes Act, 1947, and the Payment of Gratuity Act, 1972. It comprehensively covers the final settlement of dues, release of mutual claims, confidentiality obligations, and return of company property. The form serves as a crucial record of the complete resolution of the employment relationship and helps prevent future disputes by clearly documenting all terms of separation.

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What is a Employee Release Form?

The Employee Release Form is a standard document used in Indian employment law context when an employee's service with an organization is being terminated, whether through resignation, retirement, or other circumstances. This document serves multiple crucial purposes: it confirms the termination of employment, acknowledges the receipt of all dues and benefits, releases both parties from future claims, and ensures compliance with Indian labor laws. The form typically includes details about final settlements, gratuity payments (if applicable), provident fund details, and the return of company property. It's particularly important in India where employment-related disputes are common, and having a properly executed release form provides legal protection for both employer and employee. The document must comply with various Indian labor laws including the Industrial Disputes Act, 1947, and relevant state-specific regulations.

What sections should be included in a Employee Release Form?

1. Parties: Identification of the employer company and the departing employee with complete details

2. Background: Brief overview of employment history, position, and reason for separation

3. Definitions: Key terms used in the agreement including Company Property, Confidential Information, etc.

4. Acknowledgment of Separation: Formal acknowledgment of employment termination and last working day

5. Final Settlement: Details of all payments including salary, benefits, and other dues

6. Release of Claims: Employee's release of all claims against the employer

7. Company Property: Confirmation of return of all company property and documents

8. Confidentiality Obligations: Ongoing obligations regarding confidential information

9. Tax Matters: Clarification on tax responsibilities and deductions

10. Governing Law: Specification of applicable laws and jurisdiction

11. Execution: Signature blocks and witness details

What sections are optional to include in a Employee Release Form?

1. Non-Compete Clause: Restrictions on future employment - include if required by original employment agreement

2. Non-Solicitation: Restrictions on soliciting employees/clients - include for senior positions

3. Special Benefits: Any additional benefits or severance packages - include if applicable

4. References: Agreement on providing references - include if specifically negotiated

5. Surviving Obligations: Specific obligations that continue post-employment - include for specialized roles

6. Dispute Resolution: Specific procedures for resolving disputes - include for senior executives

7. Insurance Benefits: Details of continued insurance coverage - include if applicable

What schedules should be included in a Employee Release Form?

1. Schedule A - Final Settlement Calculation: Detailed breakdown of all payments including salary, gratuity, leave encashment, etc.

2. Schedule B - Company Property Inventory: List of all company property to be returned

3. Schedule C - Outstanding Benefits: Details of any outstanding benefits or reimbursements

4. Appendix 1 - Compliance Checklist: Checklist confirming completion of all exit formalities

5. Appendix 2 - Tax Declaration: Employee's declaration for tax purposes

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

India

Publisher

Genie AI

Cost

Free to use
Relevant legal definitions
Relevant Industries

Information Technology

Manufacturing

Financial Services

Healthcare

Professional Services

Retail

Telecommunications

Education

Construction

Hospitality

Pharmaceuticals

Media and Entertainment

Relevant Teams

Human Resources

Legal

Compliance

Employee Relations

Finance

Payroll

Administration

Relevant Roles

Human Resources Director

HR Manager

Legal Counsel

Compliance Officer

HR Business Partner

Employment Law Specialist

HR Operations Manager

Talent Management Director

Personnel Manager

Employee Relations Manager

HR Administrator

Recruitment Manager

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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