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Santosh Mhaske   26 July 2021


company terminate employee immdiately false charges so what employees rights.

also pls tell what is companasation given by company to employee after immdiate termination


 1 Replies

srishti jain   27 July 2021

As per your query,

The employee has certain rights after his termination, which have to be fulfilled by the employer. The non-fulfillment of such rights empowers the employee to claim his right by suing the employer in a court of law.

  1. Right to Receive a Notice for Termination- While terminating an employee, the employer needs to comply with federal and state law because these laws supersede contract provisions. In Delhi, the employer can terminate an employee by giving him at least 30 days of notice or a salary in place of such notice (only if the employer worked for more than three months).

There is no need on the part of the employer to give notice to the employee if misconduct is the reason for termination.  

  1. Right to be Heard- The employee has the right to be heard against the termination of his employment. He must be allowed to explain his position and show cause as to why he should not be dismissed or discharged.
  2. Right to Sue because of Unlawful Termination- An employee must be given just and reasonable cause for the termination. If there is found to be no just cause for the termination and is based on illegal grounds such as discrimination based on religion, caste, gender, age, disability, pregnancy, etc. then the employee can sue the employer on the grounds of unlawful termination of employment.
  3. Right to Receive a Severance Pay- Upon termination of the employment contract with the employer, the employee has rights over certain payments. Payment differs for a white-collar employee depending upon his company’s policy. 

Payment applicable to a blue-collar employee includes:

  • Payment of salary in place of notice;
  • The unpaid salary for days worked ;
  • Encashment of unused paid leave;
  • Payment of gratuity to an employee who is employed for more than five years as provided for in the Gratuity Act 1972;
  • Payment of 50% of the employee’s wages for up to 45 days where an employee employed for more than 1 year is laid off;
  • Compensation will be paid that will amount to 15 days average pay for every year of continuous service;
  • Payment of bonus for those employees who worked for at least 30 days in a financial year and earned up to Rs.10,000 under the Payment of Bonus Act of 1965;
  • Any other payment agreed to be paid on termination by the employer under the company policy.


  1. Right To Have an Enquiry Conducted- An employee has the right to conduct an inquiry in case of improper and unjust termination. Both the employers and the employees have the right to protect themselves while entering into a contract of employment and being bound by it. 

Hope it helps, 



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