Either you serve out the notice period or pay the compensation in lieu of it. Otherwise, your employer may harass you unnecessarily and drag on matters such as relieving and experience certificates, besides withholding monetary benefits.
Hi. I am in aviation. I am planning to leave my job without serving notice period to the company which is 6 months as per my contract. The company has abruptly changed the notice period to 1 year as per Directorate General of Civil Aviation (Indian Aviation Regulator) regulation which is sub judice. The reason for me leaving the job is as the company has breached the terms and conditions of the contract (Leave without pay for 9 months during Covid 19 and other monetary benefits as per contract not honored). I have recently resigned as they have given me transfer to another city which I am not willing to go. There is no clause where I can pay in lieu of notice period. I want know what are the consequences of me leaving without serving notice period ? How can I leave legally ? Can the company file a case against me despite them breaching the contract ?
Either you serve out the notice period or pay the compensation in lieu of it. Otherwise, your employer may harass you unnecessarily and drag on matters such as relieving and experience certificates, besides withholding monetary benefits.
Breach of agreement by employer is valid reason for an employee to resign without serving notice period. But there should be clear breach of terms of agreement by employer and resignation letter should specifically mention reason for resignation as breach of terms of agreement.
The company not paying you the salary or your perquisites is a different subject to that of your resignation without serving the requisite notice period, which is mandatory as per the terms of employment.
If you had availed leave without pay for nine months, nothing prevented you from claiming the same or at least to have obtained a reply for this act from the company side.
You seems not to have pursued the matter of not paying you other monetary benefits in writing and not obtained any explanation from the company for this.
You had remained silent over the non payment of the above mentioned benefits without making proper representation and followed by legal action as per procedures of law, but your resignation from your employment without serving the notice period cannot be considered as an act of tit for tat for the above referred incidents.
If your intention to pay compensation in lieu of the notice period, you could have intimated the company about this in writing and got their reply,, instead you are coming out with an excuse stating that you are resigning due to company's breach of terms.
You are entitled to enforce your rights if you believe that the company has done injustice to you, but for that you cannot take law into your hands to avenge the company by leaving the company without serving the requisite notice period.
You can inform the company that in view of your resignation, you are ready to pay the compensation in lieu of the notice period and the same may be adjusted from the amount your company has to settle you and demand relieving letter after last working day.
1) company can sue you to recover daru in lieu of notice period
2) In the event company files case against you to recover salary in
lieu of notice period file counter claim against company for recovery of your monetary benefits
You need to pay notice period by paying basic salary otherwise you will not be given relieving letter and F&F by said company
Dear client,
Leaving without serving the required notice period may lead to legal consequences, and it is essential to understand the terms and conditions of your employment contract before deciding to leave.
In your case, as per your contract, the notice period is six months, and there is no provision for paying in lieu of notice period. However, the company has changed the notice period to one year, which is sub judice. If the company has breached the terms and conditions of your employment contract, it might be possible to challenge the notice period's validity in court.
If you leave without serving the required notice period, the company may initiate legal action against you for breach of contract. They may seek damages from you for losses they incur due to your early departure, such as the cost of hiring and training a replacement. The company can also choose to withhold your dues, such as salary and other benefits, until you complete the required notice period.
To leave legally, you can try to negotiate with the company and explain your reasons for leaving. If they agree, you may be able to work out a mutually acceptable solution, such as reducing the notice period or paying compensation in lieu of notice.
If you cannot come to an agreement with the company, you may need to consult with a lawyer to understand your legal options and potential consequences of leaving without serving the notice period. It is also advisable to document all communication and correspondence with the company to avoid any misunderstandings or miscommunications.
- As per the Employment Act, employees have the right to resign at any time, by serving notice or by compensating the employer with salary in lieu. It is an offence for employers to disallow employees to leave their job.
- Further, the resignation decision is the employee’s decision, and the employer cannot sue for breach of contract, if the employee leaves without serving contractual notice.
- Further, no employer can refused to return the original certificates or to issue relieving letter .If they are doing so, their act is illegal, unjustified and against the fundamental rights of the employee.
- Further, the employment bond with the negative covenant is valid and legally enforceable, if the parties agree with their free consent i.e. without force, coercion, undue influence, misrepresentation and mistake, but it is not enforceable, if it is either one sided, unconscionable or unreasonable.
- Further, the Supreme Court has declared in the judgment of the case titled as Sanjay Jain versus National Aviation Company of India Ltd, , that to resign is a right of an employee who cannot be forced to serve in case he is not willing until and unless there is some stipulation in the rules or in the terms of appointment or disciplinary proceedings is pending or contemplated which is sought to be avoided by resigning from the service.
- Hence, if there is not mentioned for the payment in lieu of notice period , then the Company cannot force you to serve the notice period and to pay for the same.
If you do not serve the notice period, the company may allege breach of contract against you; and may initiate court proceedings against you to seek damages from you(salary in lieu of not serving the notice period.)
To avoid the above situation, it is better that you first initiate legal actions/send a legal notice to the company for past breach of contract as they are still withholding your dues. Once you take legal steps first, there is a great probability that you both can come to amicable terms where the company relieves you immediately without insisting you to serve the notice period,.