Left job without serving notice period & any legal action??
vikas125183
(Querist) 13 January 2014
This query is : Resolved
I joined a private company on 26 aug 2011 and left on 8 june 2013 but sent a resignation through mail on 26 june 2013 without serving 3 months of notice period.But they sent me mail as well as hard copy of a notice that demanding rupees one lakhs.I have signed a confirmation letter after completing one year probation period that mentioned "appointment can be terminated by you by giving three months Notice compulsorily".I am not going to pay and they are saying if i will not pay they can take legal action.is it possible??please help me.
Devajyoti Barman
(Expert) 13 January 2014
If the job contract says that you have to compensate for not serving the notice period then legally you are liable to pay.
However to enforce this clause is not easy and it is very time taking.
There is hardly any instance where company is set after employee
Advocate. Arunagiri
(Expert) 13 January 2014
You are bound to pay the the loss to the company as per your contract.
Your new employer will not like this attitutde.
Rajendra K Goyal
(Expert) 13 January 2014
You have signed the confirmation letter and legally bound to abide by its terms.
vikas125183
(Querist) 13 January 2014
Thank you everybody for your kind suggestions.Following are the extract of "Letter of Appointment" on which I have signed,based on this am I abide to pay any kind of dues if failed to serve notice period??
Termination of Employment:
This appointment can be terminated by you by giving three months Notice compulsorily.
Similarly, this appointment can be terminated by the company by giving 3 months notice or against salary (Fixed CTC less retirals benefit)in lieu thereof.
Kumar Doab
(Expert) 13 January 2014
Employee should tender reasonable notice, complete assignments on hand help the employer in handover of charge, submit company property.................
>> The good offices of appointing authority, MD, CEO, Chairman can grant a waiver.
You may request the good offices and while doing so highlight the contributions, revenues, profits, appreciations, meritorious achievements and financial constraints if any you have, convincing circumstances why you had to leave without serving the notice period, reasons why you etc......................
>> For applicability of Notice period and service conditions you may look into standing orders applicable to the establishment (Certified/Model) and extended to your designation.
Standing Orders shall prevail upon any private agreement that employer has signed with employee e.g; appointment letter, contract of employment etc...............................If notice period in standing orders in NIL it can’t be even 1 day in appointment letter. Employer PERSONALLY is held responsible for faithful observance of standing orders.
Standing Orders are to be necessarily:
- displayed at a conspicuous place/near entrance/on notice board.............
- are to be supplied in the form certified copy to employee on demand may be against a nominal charge sayRs.10.
Employee or any one can obtain certified copy from CO (Certifying Officer) that may be DLC in O/O Labor Commissioner at location of redg office of the compnay.
Therefore before believing that notice period of 90 days is applicable in your case ..........................you may obtain and examine (Certified/Model) Standing Orders applicable to you.
Your labor consultant/service lawyer may opine that standing orders are applicable in your case.There are many threads on it that you may find relevant e.g;
http://www.lawyersclubindia.com/experts/Standing-orders-442266.asp#.UtKr1dIW1MA
>>If standing orders are not applicable in your case the service conditions including notice period, notice pay may be as per appointment letter, service rules..........................................and in such a case you may have to tender the notice pay.
In such a case you may demand to adjust the notice pay in FNF statement and supply the correct FNF statement for verification and acceptance. The company shall compute all paybles by it e.g, wages for days worked, Paid Leave, Bonus, reimbursements, incentives...................etc and paybles by you and the notice pay thus may get squared off...................
vikas125183
(Querist) 13 January 2014
Thanks Mr.Doab ...can u send me ur email id and contact no.
ajay sethi
(Expert) 14 January 2014
well advised by kumar Doab
vikas125183
(Querist) 14 January 2014
Thanks Mr.Doab.well explained but can u elaborate in lighter way.
Thanks & Regards
id:solankivikashbti@gmail.com
Kumar Doab
(Expert) 14 January 2014
You may approach a competent and experienced labor consultant/service lawyer at your location and spend quality time with your lawyer, show all the docs, give inputs and everything should be light and clear.
It is felt that company has demand 1 Lac Rupees from you without supplying the FNF statement that is computation of all payables by employer to employee, and employee to employer and hence Net amounts if any to be paid by one to another........................................
The Line Managers, HR personnel of the company are trying your wits.
As per current and prevailing practices in the industry each employee handled successfully by Line Managers, HR personnel is certificate of meritorious performance for them.
Now you may address all communications to officials in Good offices only and thus make them party and liable.
If you have tried then you must affirm in writing that you have communicated in office for handover of charge, company property (if any) under proper acknowledgment on the spot, and charge was not taken from you.
You should clarify that no tasks/assignments were pending at your end on the date of resignation.
The language of the extracts of the appointment letter posted by you:
- gives impression (it does not state explicit language and terms) that for ‘Employee’ it is compulsory to tender notice and service full notice period
-whereas the company can terminate the employee, anytime, by tendering notice pay in lieu of notice period and can deny the employee to serve full notice period of termination.
The establishment shall refrain from explaining the literal and in detail meaning of the clauses in writing for obvious reasons. However even if someone states so verbally you are at liberty to record (audio/visual) ask why such discretion is not available to you.
The companies are known to insert statement in appointment like ‘The interpretation of the company shall be final and binding’.
Resignation can be without permission or notice.
The lawyer/law firm that has crafted this contract may not succeed in getting such contract implemented in a court of law.
The lawyer/law firm that has crafted this contract may not succeed in front of Trade Union Leaders and your able lawyer/law firm too...................................
Thus the money spends by establishment as FEES for getting this contract crafted as per their job order and as per their whims and fancies may go WASTE.
It is general law that whenever there is any ambiguity in terms of contract then benefit of doubt will given to party who don’t make the contract.
Contract of employment should promote equitable discretion for both employer and employee.
Any policy in the larger interest and beneficial to both employer and the employee has the sanction of law as otherwise it will be easily termed as arbitrary.
This arbitrary clause hampers your interest in securing another better opportunity when it arises or to meet any exigency that you may come across at family or personal front.
While this arbitrary clause does not hampers the interest of establishment to do away with employment of the employee instantly, in case it gets another candidate to fill your post...................................although even if establishment tenders notice pay the employee may not find suitable employment in 3 months.
If you wish to avail the services of LCI lawyer you can conduct search at:
http://www.lawyersclubindia.com/lawyers_search/#.UtTdatIW1MA
List of ‘Related 'Labour & Service Law' Lawyers’ is being flashed by LCI on the bottom of this web page.
You can access and Chat with Pro Lawyers.
You may proceed under the expert advise of your lawyer.
vikas125183
(Querist) 15 January 2014
Sir,
I read through your reply and found it very helpful. But there is still something that is not very clear. The appointment order does not explicitly state what would be the recourse if I am not able to complete the 90 days notice period. The order only states what the company would do in case I was terminated.
It is not mentioned that I will have to clear dues if I do not serve the notice period so how is it valid that the company asks me to either pay the dues or face legal action.
Thanks & Regards
Vikas
Kumar Doab
(Expert) 15 January 2014
You have posted that “I am not going to pay’.......
The company has demanded Rs.1Lac under the head ’Notice Pay’ or ‘Liquidated damages’ or some other head or it has not stated in lieu of what Rs.1 Lac is claimed?
If it has stated Rs.1 Lac is claimed under the head ’Notice Pay’ the matter is clarified..........................as application of Notice pay.
If it has stated Rs.1 Lac is claimed under the head ‘Liquidated damages’ then it is the max. amount of claim of the company....................................however ‘Liquidated damages’ may not have to be paid on just demand and reasonableness of the matter and reasonable amounts are to be decided.
It is also to be ascertained ‘Liquidated damages’ is for loss then loss has to be proved..................
It is reiterated that one should not restrict to appointment letter and should also look into Standing Orders, Service Codes and Regulations of the establishment.
On Line discussions have its own limitations and finer understanding of the nuances you may spend quality with your labor consultant/service lawyer.
Your labor consultant/service lawyer can advise you on the merits and remedies after analyzing your docs and inputs.
krishna mohan
(Expert) 15 January 2014
Notice period is bare minimum needed as mutually agreed to protect both employee and employer interest essentially to to fulfill unfulfilled obligations. It is better you give notice period as feasible to you without leaving the opportunity on hand and get relieved (or) come to an understanding to pay monetary compensation in lieu of. Most of the employers waive of the unreasonable notice period as it is added burden for them to carry unwilling worker. Litigations costs time, resources and money and more so your new employer will be unwilling to take you without relieving order. You may decide the best way to proceed.
Devajyoti Barman
(Expert) 15 January 2014
you are advised enough..now stop this thread.
