What is Dismissal from Service? Meaning and Example

The process before a dismissal

A dismissal comes at the end of a fair process, never at its start. The steps are well established in Indian workplaces, and the misconduct and the penalty should both be ones listed in the standing orders or conduct rules that apply to the employee.

• Charge sheet or show cause notice with specific allegations
• Written reply from the employee within a stated time
• Domestic enquiry by an impartial officer if the charges are denied
• Enquiry report with findings, shared with the employee for comment
• Final order by the disciplinary authority stating the penalty

Dismissal vs termination vs discharge

Termination is the broad term for any end of employment by the employer. Dismissal is the punitive form, recorded as a penalty and often affecting references and rehire. Some conduct rules also provide for discharge, a lighter penalty that ends employment without the same stigma. Retrenchment is different again: it covers termination for reasons other than punishment, such as surplus staff. Choose the word in the letter carefully, because it states the reason and shapes what the employee is owed.

Suspension and dues during the process

Where the misconduct is serious, the employee may be suspended pending enquiry, with subsistence allowance as the standing orders and law provide. Keep the enquiry prompt, since long suspensions are unfair and expensive. After dismissal, earned wages remain payable within two working days of the exit, as the wage payment rules require. Keep the full enquiry file, because a dismissed employee may challenge the decision, and the file is the company's evidence of a fair process.

Frequently asked questions