Lecture-05-06

UNITED INTERNATIONAL UNIVERSITY

Post Graduate Diploma in Human Resource Management

Course Title: Employee Relations and Employment Laws in

Bangladesh
Facilitator:
Abul Hashem Mazumder
MBA (HRM), PGDHRM(BIM), LLB (NU)
Fellow & Former GS, BSHRM
Head of HR,
Mirpur Ceramic & Khadim Ceramics Ltd.
Email: ahmazumder2009@gmail.com
Cell : 01730010520, 01811343402
 Recap
1. What are the different mode of seperation as per BLA ?
2. How may types of punishment are there as sper BLA?
3. What is the procedure for punishment as BLA?
4. Can we make Tk.600 fine to a worker whose basic salary is
Tk.5000/- ?
5. When a woeker has been dismissed after working 5 yrs contineous
service in the company, he is entitled to compensation @ 15 days
basic salary / 30 days basic salary or one of them.
6. What is the termination benefit. Whether a worker is entitled for
termination benefit who has worked only one year in the company.
7. Compensation for removal of an employee is 15 days basic salary /
30 days basic salary for each completed year of service.
8. If any worker resigns from service after working 4 yrs in the
company is entitled to compensation @ 15 days basic salary / 30
days basic salary.
9. Howe to handle the case of absence without leave for more than 10
days at a time.
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Suppose one of your worker has been laid off and continued up 60 days. Following are the details about
worker:
• Position : Machine Operator
• Category of Employment : Permanent
• Gross salary : Tk.20,000.00
• Basic Salary : Tk.10,000.00
• House Rent : Tk.5000/-
• Length of Service : 4 yrs 6 months 01 day
• During this 60 days period he availed 8 days weekly holidays (6+2).
• Gratuity scheme : Yes it is available in the company.
Question : Please calculate his financial benefit as per BLA during his laid of period.
One month basic / 30 days (1000 /30) = Tk.333.333 (one day’s basic salary)
One month house rent /30 days (5000/30)=Tk.166.666 (One day’s house rent.

Calculation for first 45 days :

1. Compensation interms of salary (45-6) =39 days : 39 days x 50% of basic (333.333/2) = Tk.6499.993 (say
Tk.6500/-
2. Compensation interms of house rent for first (45-6) = 39 days x 100% of hr (166.666 x 39) = 6499.974 (Say
Tk.6500/-
Calculation for rest 15 days :
3. Compensation interms of salary (15-2) =13 days : 13 days x 25% of basic (333.333/4) = Tk.1083.329 (say
Tk.1083/-
4. Compensation interms of house rent for first (15-2) = 13 days x 100% of hr (166.666 x 13) = 2166.658 (Say
Tk.2167/-
Lets caculate total compensation (1+2+3+4)
= (6500+6500+1083+2167) = Tk.16,250/-
Domestic Enquiry & Disciplinary
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Procedures
 Problem solving

A permanent Driver of your company died outside the company

premises while he was driving company vehicle. Please calculate his
final settlement bill considering the following:
 Length of Service is 10 years 06 months 1 day.
 His monthly basic salary is BDT 10,000.00 and Gross Salary is Tk.20,000.00
 Gratuity Scheme is there in the company.
 Group life insurance is also there (benefit equivalent to 30 months basic salary).
 His earned leave balance was for 30 days.

Calculation for financial benefits:

His Service Length is 11yrs.

1. Death Benefits
[(10,000÷30)×45 ×11] = 1,65,000 TK [Section-19]

2. Gratuity (retirement benefit)

[(10,000.00÷30)×45 ×11] = 1,65,000 TK [Section-19& 28]

3. Group Insurance
(10,000×30) = 3,00,000 Tk [Section-99]

4. Death Benefits for accident at work

= 200000Tk [Section-151(a of 1) and Schedule-5]

5. Earned leave encashment

= 20000÷30x30 = 20000 (Section 11)

Total Financial Benefits = Tk.8,50,000/-

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Disciplinary Procedure
&
Domestic Inquiry
(Following BLA-2006 & BLR-2015)
 Objective of the
Session
 To learn how to ensure proper discipline at work place.
 To learn 11 stages of taking disciplinary action as per BLA
 To learn relevant sections of Labor Laws for taking
disciplinary action
 To learn the art of conducting Inquiry before taking
disciplinary action against worker as per BLA
 To know about the exparte Inquiry and adjournedment of
Inquiry.
 To learn how to write Inquiry Resolution / Proceedings
and Inquiry Report.
 To learn the art of drafting of different disciplinary letters
(Charge-Sheet/Show Cause Notice, Inquiry Notice, Various
types Separation Letters, etc.).
 To leran how to help the Management for taking right
decision 6
Domestic Enquiry & Disciplinary Procedures
 EMPLOYEE DISCIPLINE
• Employee discipline is arguably one of the more
difficult tasks
• Employees hear “punishment” when employers say
the word “discipline.”  
• As leaders, our jobs are to use the tools at our disposal in an
effective manner to guide our organizations toward the achievement
of our corporate mission.

Domestic Enquiry & Disciplinary

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Procedures
 WHAT TO DO BY LEADERS
So how do we, as leaders, go about changing the
perception of discipline from a punitive action to a positive initiative? Let’s
consider three options.

• Less talking and more LISTENING – It seems intuitive

that when speaking with an employee we would actually hear what they
are saying. However, we often do all the talking.

• Share the WHY – Not every employee will understand

every policy. While they most likely know what to do and what not
to do, they will not always understand the importance of the
policy/rule/guideline in terms of the work.
• Highlight the MISSION – As stated earlier, everything
we do in management is geared toward the achievement of
our corporate mission. It is vitally important to tie discipline to
specific policy and then to tie policy directly to the mission. 8
Domestic Enquiry & Disciplinary
Procedures
WHAT IS DISCIPLINE

Domestic Enquiry & Disciplinary

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Procedures
 What is Discipline?
 Discipline does not take away freedom rather it
gives freedom. Sometimes we need to be unkind
to be kind.
 Parenting and Leadership is not a popularity
contest.
 Those who can not learn to obey; can not learn to
command.
 Discipline means absence of disorder, chaos and
confusion in human behavior or action.
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Domestic Enquiry & Disciplinary Procedures
 CASE STUDY-1
One of your worker caught red-handed while stealing
company’s property. Accordingly, Security Officer of
the company submitted a report to the HR Dept. On
being hearing the incident, Management has instructed
you to dismiss the employee instantly. Please give your
opinion on the following issues:
 Can you do it according to BLA-2006.
 If answer is yes what is the justification
according to BLA.
 If answer is no what is the reason.

Domestic Enquiry & Disciplinary Procedures 11

 Stages In Disciplinary Procedure
In fact, as a result of various verdict of High Court, now it is
required to follow eleven stages in regard to procedure for
disciplinary action, which are as follows:
1st Stage: Preliminary Investigation (if required)
2nd Stage: Issuance of Charge-Sheet or Show-Cause Notice
3rd Stage: Delivery of Charge Sheet / Show Cause Notice
4th Stage: Consideration of Explanation
5th Stage: Formation of Inquiry Committee
6th Stage: Issuance of Inquiry Notice
7th Stage: Conducting inquiry
8th Stage: Inquiry Report
9th Stage: Consideration of Inquiry Report by the Authority
10th Stage: Awarding Punishment
11th Stage: Communicating Punishment
Domestic Enquiry & Disciplinary Procedures 12
 Stages In Disciplinary Procedure (Contd.)

1st Stage: Preliminary Investigation, if required

 To find whether a prima facie case of misconduct

exists.

 To find out the responsible person.

 To understand the degree/gravity of misconduct.

 To avoid unnecessary hassle in the Management.

Domestic Enquiry & Disciplinary Procedures 13

 Stages In Disciplinary Procedure (contd.)

2nd Stage: Issuance of Charge-Sheet or Show-Cause Notice

 Should be precise and specific

Purpose and Language

Time for issuance and time to be given for reply

Issuance authority

In what form (letter / memo).

Amendments
Domestic Enquiry & Disciplinary Procedures 14
 Suspension Pending Inquiry

 Accused employee can be suspended (pending Inquiry)

considering the gravity of the charges.
 Suspension order generally issued along with the charge-
sheet / show cause notice
 General ground for suspension:
a) Theft, misappropriation of Company’s fund, riotous
behavior in the organization.
b) When the presence of the accused employee is
considered harmful for the organization.
c) When the presence of the accused employee may
create obstacle to the proper conduction of inquiry.

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Domestic Enquiry & Disciplinary Procedures
 Suspension Pending Inquiry
(contd.)

 Must not exceed 60 days unless the matter is pending

before any court

 The accused should not come to his workplace unless

asked for

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Domestic Enquiry & Disciplinary Procedures
 Subsistence
Allowance
Subsistence allowance is the half of basic wages, interim wages (if
any), ad-hoc and dearness allowance and other allowances in full
2(ix a) and 24(2) or gross (-) half of basic.

If the charge(s) can not be established, it will be treated that he

was at work and thus he has to be refunded the rest half of basic
wages deducted.

If he is awarded with any kind of punishment, he will not be

refunded the wages deducted.

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Domestic Enquiry & Disciplinary Procedures
 Stages In Disciplinary Procedure (contd.)

3rd Stage: Delivery of Charge Sheet / Show Cause

Notice

 Ought to deliver by hand

 Should be delivered through registered post in the

permanent & present address (if refused)

 A copy must be pasted on the Notice Board

Domestic Enquiry & Disciplinary Procedures 18

 Stages In Disciplinary Procedure (contd.)

4th Stage: Consideration of Explanation

 The accused may admit the charges and apologize

 May refute the charges.

 May not respond.

 May request for time extension for reply.

 May give unsatisfactory reply

Domestic Enquiry & Disciplinary Procedures 19

 Stages In Disciplinary Procedure (contd.)

5th Stage: Formation of Inquiry Board

Same number of members from the side of employers
and the employees’ but excluding the following Officials:

Witness, Complainant
 Officials of lower position
 Involved with the Preliminary Inquiry
 Having biased personality
 Having interest (directly / indirectly) with the incident

Domestic Enquiry & Disciplinary Procedures 20

 Stages In Disciplinary Procedure (contd.)

6th Stage: Issuance of Notice of Inquiry

 When the reply is not found satisfactory

 Issuance authority

 Mode of delivery

Time Frame

Domestic Enquiry & Disciplinary Procedures 21

 Stages In Disciplinary Procedure (contd.)

7th Stage: Conducting Inquiry

The most important step in the procedure of disciplinary
action is the actual holding of inquiry
 A Committee having equal number of members

 Fair opportunity for cross-examination

Principles of Natural Justice must be maintained.

Domestic Enquiry & Disciplinary Procedures 22

 CASE STUDY-2

One of your temporary worker who has successfully

completed six months job in your company requested
your management to provide him with a confirmation
letter. Your management has referred the matter to you
for your opinion. ?

What would be your opinion as HR professional?

Domestic Enquiry & Disciplinary Procedures 23

 Basic Principles of Inquiry
Since there is no law for conducting Inquiry, the Management must
follow the Principles of Natural Justice minutely.
Principles of Natural Justice:
“In a case where there is no rules & regulations for conducting
inquiries, the principles of natural justice is to be followed.”- DLR 90
Page 60 Ahsanul Hoque vs. Agrani Bank
In this connection Bangladesh Supreme Court has given its verdict in
another case that:
“The principles of natural justice implies …. that in the absence of
statutory rules, the delinquent employee must be given prior notice of
the proceedings against him, so that he gets adequate opportunity to
defend himself in the proceedings.

Domestic Enquiry & Disciplinary Procedures 24

 Basic Principles of Inquiry (contd.)

It follows, as an extension of this principle, that the

delinquent employee has a right to receive the charge sheet
against him, to submit a written reply to the same within a
reasonable period, to have the prosecution witnesses
examined in his presence and to cross examine them, to
adduce his own evidence in support of his defense, to
inspect documents proposed to be used to get a neutral
Inquiry Committee….”
-BLD (AD) Page-140

Domestic Enquiry & Disciplinary Procedures 25

 Procedure of Conducting Inquiry
Instructions to be followed:
Should be conducted in the presence of the accused
(except Ex-Parte Enquiry)
Taking of statements of the witnesses and complainants
The accused must be given the opportunity to cross
examine (Q & A)
Statement of the witnesses of complainant side to be
taken first
Accused will be given opportunity for self defense (not in
Q & A)
Domestic Enquiry & Disciplinary Procedures 26
 General Principles Governing
Inquiry

 Functions of Inquiry Committee

 Venue of Inquiry.
 Attitude of Inquiry Committee
 Documents must be accepted in original.
 Authentication of evidence.
 Who will write the Inquiry Proceedings.

Domestic Enquiry & Disciplinary Procedures 27

 Procedure of Proceeding
Writing
Brief Guideline:
1. To read out the Charge-Sheet to the Accused

2. If he confesses the charge(s) (Sl-5 to be followed)

3. If the answer is NO then statements from the witness(es) of

Management to be taken

4. Witness(es) of the charge-sheeted employee to be called for giving

statement

Domestic Enquiry & Disciplinary Procedures 28

 Procedure of Proceeding
Writing(contd.)
5. Statement of the accused (if any) to be taken (not in Q & A)
Afterwards the Inquiry Committee may ask questions but should
not exclude the following technical questions:
a) Have you got the opportunity of self defense in the inquiry?
b) Have you got the scope of giving the statement freely
without any interference?
c) Have the prosecution witnesses given their statement in
presence of you.
d) Have you got the opportunity to cross examine the witnesses
of the Management.
e) Do you want to say anything else?

6. Finally the signature of the accused must be taken at the end of

every page of the inquiry proceeding and the signature of the
witnesses must be taken at the end of their statement and cross
examination.

Domestic Enquiry & Disciplinary Procedures 29

 Case Study-3
• One of your workers resigns from service by giving 60
days notice as per clause 27 of BLA-2006. But on
receiving the resignation letter, you have been
instructed by the management to accept his resignation
and release him immediately.

• Can you do it ?
• If you can what would be the procedures?
• If you cannot what is the barrier?

Domestic Enquiry & Disciplinary Procedures 30

 DOs & DON’Ts of
INQUIRY
1) If the accused employee leave in the midst of inquiry,
ex-parte must be done

2) Irrelevant people must not attend in the inquiry

3) Inquiry Report must be written with the Finding /

Decision

4) Trained employee should be selected for the Inquiry

Committee

5) Inquiry should not be started with question

Domestic Enquiry & Disciplinary Procedures 31
 How the Inquiry can be
Vitiated
Under the following circumstances an inquiry can be vitiated:

1. Non-observance of the principles of natural justice.

2. Denial of personal hearing.

3. Not giving opportunity or making obstacle for the accused employee

to bring witness in the inquiry.

4. Taking any document / evidence without the acknowledgement of the

accused employee.

5. Consisting Inquiry Committee with any biased person.

6. Perverse Findings.
Domestic Enquiry & Disciplinary Procedures 32
 Adjournment of
Inquiry
1. May be adjourned on written request (from both side)
before / during the inquiry
2. Followings should be specified in the inquiry proceeding:
 Date & time of the next inquiry.
 Reason for adjournment of the inquiry.
 Order of the adjournment of inquiry in the inquiry
proceeding must be counter signed by both the parties

NB: In spite of knowing the date of next inquiry after

adjournment, if any party remains absent, the inquiry will
be conducted ex-parte.

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Domestic Enquiry & Disciplinary Procedures
 Ex-Parte
Inquiry
 Can be conducted in the absence of accused in spite of
having Inquiry Notice

 In Ex-parte inquiry, witnesses of the management must

be cross examined by the inquiry committee

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Domestic Enquiry & Disciplinary Procedures
 Stages In Disciplinary Procedure (contd.)
8th Stage: Inquiry Report

Guidelines for preparation of Inquiry Report:

1. Writing Inquiry Report is an art which requires repeated practice.
2. Timely completion of the Report.
3. The proceeding must be considered.
4. The Report must be as follows:
a) Drawing a brief Introduction
b) Mentioning the charges
c) Highlights on the statement of the accused, comments of the
witnesses and opinion of the Committee
d) Mentioning the reasons for finding the accused guilty / not guilty
e) Findings of the Inquiry Committee

Domestic Enquiry & Disciplinary Procedures 35

 Inquiry Report (Contd.)

5. Must be brief and concise

6. No additional matter should be mentioned

7. Must be in easy and simple language

8. No need to give the copy to the accused

9. All members of the committee should sign in every page

10. Must be submitted with all necessary documents and

proceedings
Domestic Enquiry & Disciplinary Procedures 36
 Stages In Disciplinary Procedure (contd.)

9th Stage: Consideration of Inquiry Report by the Authority

 Authority reserves the right to accept or reject
 If it is rejected, a fresh inquiry has to be conducted again
 Previous papers should not be considered in case of fresh
inquiry.

10th Stage: Awarding Punishment

 Punishment must be on the basis of findings and gravity
of the misconduct
 Previous records of the employee may also be considered

Domestic Enquiry & Disciplinary Procedures 37

 Stages In Disciplinary Procedure (contd.)

11th Stage: Communicating Punishment

 A letter must be issued to the accused informing about his

punishment

 It should contain reference of the charge sheet and the

inquiry

 The effective date should be mentioned

Domestic Enquiry & Disciplinary Procedures 38

 THE ICEBERG

KNOWN
TO OTHERS BEHAVIOR
SEA LEVEL

UNKNOWN
TO OTHERS

VALUES – STANDARDS – JUDGMENTS

ATTITUDE
MOTIVES – ETHICS - BELIEFS
THANK YOU ALL

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Domestic Enquiry & Disciplinary Procedures
 ANY
QUESTION

41
Domestic Enquiry & Disciplinary Procedures