Salary for Notice Period - Early release during Notice Period

This query is : Resolved 

Querist : Anonymous (Querist)
03 February 2011

Dear Sir / Madam,

I was serving as a Senior Management resource in a Healthcare company.

I served Notice for Resignation giving reference to employment letter, which has 1 month notice period or salary in lieu-of clause. As per my letter I offered to serve 1 month or longer if required by the company.

On receiving the Letter, CMD cut down my role and asked me to serve only specific areas of responsibility. However, on 2nd day of the notice, I was called again by CMD and was told that he is taking over all the responsibilities and there is no need to come to office from next day onwards.

I believe, that early release while I was serving the notice period tantra-mounts to termination of my services and I am eligible to payment of salary for the balance of Notice period.

The employer is not willing to pay the notice period and also for leaves accumulated. His logic is that I resigned and employer is entitled to release me earlier than my due date without any dues.

Please clarify if my understanding is right or employer's interpretation is right.

Please suggest if I am justified in asking my dues, what should be the course of action taken by me.

1. I submitted my notice of resignation in writing, but didn't get acceptance from the management.
2. The request for early release was communicated to me verbally. Since I reported to CMD, I didn't ask for this in writing and took his word for it.
3. The EA to CMD had discussed with me and had told that the salary for balance of notice period will be paid
4. I have been writing to EA to CMD and sending SMS. However, there is no response in writing from them and all discussions are verbal.
5. Denial to pay is also communicated verbally and not in writing.
6. The employment agreement states clause of separation as 1 month notice period or salary in lieu of from either side.

Thank you for your help and guidance.


Basavaraj (Expert)
04 February 2011


Your understanding is absolutely right and your Company interpretation is wrong.

I think you should have write small email to your CMD that as advised and discussed so and so date you have asked me to cut-down my works and you have asked me to relieve from all per your directions I m not coming to the office, hence you are liable to pay salary in leiu.

This small email would have enough to tackle your Company, bcz it creates evidence.

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