M Kumar (engineer) 06 January 2011

notice period

Hi,

I was working for an IT company. My appointment letter has mentioned the following regarding the service termination:

"On resigning from the services of XXXX Software Pvt.Ltd., the employee is required to give two month's notice. In case of a shortfall of notice period, the relieving date shall be the prerogative of the company, and shall be within the notice period. Further, the company reserves the right to recover an amount equivalent to the consolidated salary for the number of days of shortfall and with hold his/her relieving letter/certificates."

I put my resignation on 12^th July 2010 and requested them to release me on or before 12^th Aug 2010. I was ready to pay the amount which was required for the shortfall in the notice period.

On my resignation they replied to me that my notice period has been of 3 months and they cannot release me before the completion of 3 months notice period. It was shocking for me to know that my notice period was 3 months.

My new company was ready to let me join without the relieving letter. So I sent a mail to my previous company on 23^rd July 2010 to treat that day as my last working day and I joined the new company on 26^th July 2010.

I have not yet got any response to repeated request to the old company to settle all my dues as per the condition mentioned in the appointment letter. I did not even get the July month’s salary for 23 days. They owe my money even they deduct the money for the shortfall.

Please let me know how I can get my money and relieving letter from them? If I need to go to court they how much time it can take for the settlement.

Your help will be appreciated.

Thanks & regards.

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2 Replies

Sarjooram Sharma (Assistant Labour commissioner) 14 January 2011

If there are Less than 100 employee in the company, provision of one month's notice period is applicabe. If there are 100 and more employees in the company the provision of 3 month's notice period is applicable. If you have not completed one year of continuous service, no notice period should be applicable. If the old company is not giving the remaining dues, you can claim in the labour court under section 33(C)(2) of Industrial Disputes Act 1947

Kirti Kar Tripathi (lawyer) 15 January 2011

I do not agree with Mr. Sharma as It seems that he has some misconception. Your case is purely depends on contract between you and your employer. As your contract contains a conditions to give one month notice. You are bound to comply the same but in your notice you have given one month time only, Thus you are liable pay an amount equivalent to one month salary more under this contract. Since, you have offered this amount , you have complied the condition at your end. but whether, you made this order is in writing, it is not clear. In case, you have not made this offer in writing, it better to make just now. As oral offer has not relevance unless it is admitted by other party. One more thing, to claim this amount, your employer has to file Civil suit. I don't think, your employer will take this pain for this small amount. So you can leave the job. Be ready for payment of remaining amount, in case, any suit is filed. My best wishes with you.