At this current scenario where individual needs financial support, organisations can run this program which is designed by as a benefit for employees in line with industry practices to provide personal loan to employees. This will help them to meet various personal needs such as medical, marriage, housing / rental deposits, vehicle purchase, personal loan and other needs.
All Full Time employees are eligible for this benefit from the 1st day in the organization, The amount is restricted to certain amount for employees who take a loan in their 1st year of service. This also depends on the level and grade they are at present. After Internal approvals amount is credited to salary account in the 1st week of the next month.
In case the employee leaves the company for any reason before the full recovery of the borrowed amount, the employee shall pay the unrecovered amount and the interest on full borrowed amount. This is known as the foreclosure amount. The interest part of the foreclosure amount will be calculated at the certain rate per annual on the original loan amount for the period from the date of disbursement to the date of settlement. Organisation will recover this amount from the salary of the employee for the tenure decided by the management.
It seems like a good retention program. Thoughts please..
No comments:
Post a Comment