What Are The Punishments That You Can Award To Your Employees For Their Misconduct? – Answered!

For various types of misconduct, there are various types of punishments/penalties. These punishments/penalties can be divided into major penalties and minor penalties are:

Penalties
1. Minor Penalties:

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Is a mild form of disciplinary action? This punishment is generally given for some minor offences. The types of penalties, which are set below are in the ascending order of their severity.

i. Oral Reprimand:

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This is the mildest form of disciplinary action. The issue of reprimand does not involve loss of status or wages.

As people (subordinates) invariably value the social approval of their actions by their superiors and fellow beings, a reprimand is generally effective in correcting subordinates. Oral reprimand should be used sparingly; otherwise it will not produce any effect on the subordinate.

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ii. Written Reprimand:

When oral reprimand proves to be ineffective and the workers continue with the misconduct, it becomes necessary to issue a written reprimand and to bring into record the misconduct.

A written reprimand may state that certain privileges would be withheld or withdrawn if the subordinate continues with his present conduct.

iii. Loss of Privileges:

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For such offences as tardiness or leaving work without permission, the employee may be put to loss of various privileges such as good job assignments, right to select machine or other equipment and freedom of movement about the workplace or company.

iv. Fines:

Means a deduction from the remuneration of the “employee by way of punishment.

v. Punitive Suspension:

Punitive suspension is inflicted on the workman as a punishment for some misconduct. Under punitive suspension an employee is prohibited from performing the duties assigned to him and his wages are withheld for so long as the prohibition subsists.

2. Major Punishments:

It is a severe form of disciplinary action initiated against the workmen. It is given for some major offences. The various forms of major punishments are given below.

i. Withholding of Increments:

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Withholding of annual increment of an employee in a graded scale is a major punishment. The cumulative effect of losing an increment is considerable. It is equal to the amount of increment X 12 X the number of years of service still remaining.

ii. Demotion:

Demotion implies condemnation of the employee as being unfit for the position occupied by him. It should not be used as a penalty if the employee is properly qualified for the present assignment. Demotion should be used only in a case where an employee does not meet present job requirement.

iii. Discharge:

The term ‘discharge’ is used to denote removal of an employee from service by way of punishment. But no stigma is attached to the expression “discharge”. Hence, it is not a disqualification for future employment.

iv. Dismissal:

Also referred to as industrial capital punishment, dismissal is the ultimate penalty, which is rarely resorted to nowadays. Through discharge and dismissal both have the same result i.e., termination of service of the employee, dismissal is a more severe punishment.

There is a stigma attached to the expression “dismissal” which makes it a disqualification for future employment.

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