*TSC Makes New Changes Concerning Teachers’ Check Off Facility Termination*

A Check Off Facility refers to the incidence where the employer undertakes to deduct monthly installment from the employee’s salary and surrenders the same amount of money directly to the bank/ the lender institution towards adjustment of the loan till its liquidation and also confirm undertake attachment of terminal dues of the borrower employee.

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The teachers service commission has come out clear on the Circumstances that can necessitate its termination of Check Off Facility.

The circumstances include:

i. When the third party fails to comply with the statutory provisions as well as any given government regulations and rules relating to third party deductions

ii.when in an event that any whereby the applicable rules and regulations makes a deduction illegal or not permissible from an employee’s salary.

iii.when it happens that the third party becomes bankrupt or is de-registered under the law.

iii.when the third party engages in any practice deemed by the Commission to be fraudulent or illegal on the part of the third party.

Here the Commission shall give or issue fourteen a 14 days notice of its intention to terminate the relationship with the third party.

iv.When a third party is barred suspended, refused or terminated from the use of the check-off facility by the Commission .

The commission however may allow the third party to do an appeal in writing for a review of the decision within twenty-one days.

In this case, the third party shall pay a service charge for processing of deductions, information, reports plus any other service provided by the Commission;

The Third party shall fully absorb the service charge cost without passing it to the employee;

The commission also maintains that the applicable rates for service charge shall be as indicated under the schedule 3 and shall take effect from the date of these guidelines;

Additionally, service charge shall be reduced from the remittances of the third party at the end of every month.

It is then clear that rates shall be determined by the Commission from time to time.