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Sameer Reshamwala (DM)     10 May 2012

Can an employee be terminated on ground of loss of confidenc

Hello Friends,

I need your suggestion "Can an employee be terminated on the ground of loss of confidence" please reply.



Learning

 12 Replies

adv. rajeev ( rajoo ) (practicing advocate)     10 May 2012

Yes he can, when employer looses his confidence on his employee regarding any entrusted work, he can terminate him.

1 Like

Sameer Reshamwala (DM)     10 May 2012

Please where are you from and your mobile number please.

Adv.R.P.Chugh (Advocate/Legal Consultant (rpchughadvocatesupremecourt@hotmail.com))     10 May 2012

My answer would be a emphatic NO. An agreement that provides for sacking on "loss of confidence"  is an uncertain agreement and hence VOID, because of the simple reason that "loss of confidence" is too vague to be objectively examined by the court whether confidence was infact lost and hence sacking justified. I differ with my Ld.Colleague above.

2 Like

Sameer Reshamwala (DM)     10 May 2012

Thanks for the reply , but the think is that they have threaten me that if I dont resign they will terminate me on the ground of loss of confidence if they terminate me they will give reliving letter which will be bad in all aspect, can a bank do that.

H. S. Thukral (Lawyer)     10 May 2012

If the employer can affirm the Loss of confidence then termination would be justified. But it has been also held that allegations of loss of confidence cast a stigma. Therefore if the employer terminates the services for the reason of loss of confidence, the termination shall be open to the scrutiny of the Courts. they can peirce the veil to see whether the allegation of loss of confidence is true.  Air India corporation/Johnson Pumps/ Chartered Bank are leading cases.  

Sameer Reshamwala (DM)     10 May 2012

Thank you Singh Sir,

There is no loss cause to the bank neither I have not disclose any secret of the bank than too. The Brief of my case is that I have purchase a second hand mobile outside the bank but due to some fault in the phone i have made only part payment but due to fault in the mobile I have not made the payment and the same person has file an FIR against police man called me outside the bank and took me to police station and book 420 charge on me and I was put behind bar then I have to take Bail mean while police took me one day to bank for verification and puchanama then bank official came to know about my arrest.And when i was released on bail I went to bank to resume my duty but they refuse me to join the duty and instead ask to give resignation for which i denied and they issued me show cause notice asking why bank should not remove me from the service.I have replied saying that I was falsely implicated in the matter and reason saying what happen in the past days. This is the breif of my case , Now My manager calls me and ask me to resign so that no further action will be taken against me and all the benifit will be provided . NOW SHOULD I RESIGN OR SHOULD I NOT IS THE BIG QUESTION , I am ordinary man require your suggestion which will definately help to rescue my career.

H. S. Thukral (Lawyer)     10 May 2012

You don't have to resign in the circumstances. If the management terminates you relying on the criminal case pending trial agasint you it will be open to challenge. 

1 Like

Sameer Reshamwala (DM)     10 May 2012

But that to will take long time and I dont have that much money to fight the case with bank.

Anjuru Chandra Sekhar (Advocate )     11 May 2012

They have issued a show cause notice to you. You have replied, later he should not ask you orally what he wants from you.  That is mischief.  If wants anything from you, tell him, you give it to me in writing what you are expecting from me.  Never resign. 

Kumar Doab (FIN)     11 May 2012

Learned experts/members have given valuable advice. Kindly follow it.

You may mention in your reply to SCN or by a subsequentr communication that on dated............Mr/Ms........dept.....designation............address has not allowed you to be in office and perform your duties, and has asked you to not to come to office, from dated............You have replied to the SCN and want to be in office and perform your duties and Mr/Ms.......be adviced to take back his/her oral orders with a copy to you, and SCN may be withdrawn.

Valuable advice of learned experts/members is sought.

N.K.Assumi (Advocate)     12 May 2012

Corporate Governance is based on trusteeship and under it all wealth is a social trust and every individual - the employer, the engineer or even the ordinary mistry - is a trustee entitled to its proper utilization for the common good. And as pointed out by adv Bharat chugh, the conditions of termination of employee on loss of confidence is too vauge, but if the employer do so on the said grounds, you can approach the civil courts as rightly advised by the experts to your query. As mentioned by Professor Jeffrey Sachs in his Book "The end of Poverty"  A practical approach to reducing human deprivations must actively foster learning about the best strategies:

JANAK RAJ VATSA (ADVOCATE)     13 May 2012

you have received the show cause notice which u have replied. this settles the issue. you need not resign . if they terminate your services, then that can be challenged.


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