• Notice period discretion

The following clause is in the termination column


“The notice period for termination of employment on either side shall be three months. Company shall have an option of making payment in lieu of notice period at its discretion.

 When payment in lieu of notice is offered by the company, the notice pay shall mean only the basic salary and does not include cash equivalent of any allowances, etc.
Payment in lieu of notice shall be subject to acceptance of the same by the Company considering unfinished tasks, projects on hand, work in progress, etc. You shall not be deemed to have been relieved of your services except upon issue of a letter to that effect.”

I need an immediate release for higher education. They are not releiving . What is the procedure for the same .
Asked 2 years ago in Labour

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7 Answers

As per clause the discretion vest with company only to buy notice period but an employee donot have any such option. Clause is one sided, biased and against public policy. Complete agreement is required to be examined. You can submit your resignation with cheque equivalent to salary for three months including cash. Allowances are not payable. 

Siddharth Srivastava
Advocate, Delhi
1551 Answers

If company is not relieving you then you have to serve the notice period 

 

I presume you offered company salary in lieu of notice period 

Ajay Sethi
Advocate, Mumbai
99755 Answers
8143 Consultations

Once you have intimated your decision to resign and mentioned that you are willing to compensate for the remaining notice period and your last working day will be on......., you can stop attending office from the next date of the last date.

You return the company's assets before that.

If they don't send you the relieving letter and full and final settlement then you can resort to legal process.

T Kalaiselvan
Advocate, Vellore
89957 Answers
2490 Consultations

- As per Specific Relief Act, if any employee quits before the notice period, the Employer can only recover the Notice pay, and the Company cannot force to serve the entire notice period.

- 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. 

- Except, recovery of the said amount, company cannot harm you for the same

- 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.

- Since , there is given 3 months notice period , the either you serve the notice period or pay the same i.e.. return the 3 moths salary to the company. 

Mohammed Shahzad
Advocate, Delhi
15799 Answers
242 Consultations

It’s the basic salary only 

Prashant Nayak
Advocate, Mumbai
34494 Answers
248 Consultations

Dear Client,

If an employee quits before the notice period, the employer can only recover the notice pay. The company cannot force the employee to serve the entire notice period. The resignation decision is the employee's decision, and the employer cannot sue for breach of contract. The employer also cannot refuse to return the original certificates or to issue a relieving letter. If they do, their act is illegal, unjustified, and against the fundamental rights of the employee.

In the case of a 3-month notice period, the employee can either serve the notice period or pay the equivalent amount in salary.

 

Anik Miu
Advocate, Bangalore
11008 Answers
125 Consultations

You can get relief from company on medical ground. Nobody can stop you from this.

 

Ganesh Kadam
Advocate, Pune
13008 Answers
267 Consultations

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