Rescind job offer indian law

Rohit Sharma (Querist) 14 September 2024 This query is : Resolved
Dear All,

Request your help, I have received job offer 90 days back, after completing notice period with existing employer my new Employer is rescinding my job offer just 7 days before joining, and want to waive it by giving 1 month salary.

2 weeks back they wrote a welcome mail to me and asking my address to deliver office essentials also sharing my new employee ID and this was remote location.
Offer letter says "Either party may terminate employment by giving two (2) months’ notice in writing. However, the Company at its discretion may choose to terminate your employment by paying (2) months’ salary in lieu of notice."

since job location was at different place, I also have incurred expense of Shifting and school admission of my child.

Need help how to proceed on this and this particular organization is one of the very bid US based MNC. Kindly guide and help.

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Quick Summary

An employer has rescinded a job offer just days before the start date, offering one month's salary in lieu of the contractual two months' notice. The individual has already incurred significant expenses, including relocation and school admissions for their child. While employers can generally rescind offers, they may face legal consequences if the candidate can prove losses. Issuing a legal notice detailing these losses and demanding revocation of the rescinding order is a potential course of action, with the threat of negative publicity also being a factor.

Rohit Sharma (Querist) 14 September 2024
Pls help on above query.

T. Kalaiselvan, Advocate (Expert) 15 September 2024
an employer can legally rescind a job offer in most cases, but there are some legal and ethical considerations to keep in mind:
Employers can rescind a job offer for almost any reason, as long as it's not related to a protected class. For example, an employer might rescind a job offer if they can't afford the role or no longer need it.

If the candidate can prove they suffered losses due to the termination, the employer could face legal consequences.
Hence you may issue a legal notice giving the details of the losses you suffered and demand revocation of the rescinding order.
If the incident gets public or media attention, it could harm the employer's reputation. You can remind that to the employer.

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