An employee working in a company incorporated under the Companies Act 1956 has terminated his services after 6months of service(under extended probation period) without giving a notice pay.This company is having Registered Office in New Delhi and Head office/Corporate Office in Hyderabad and please clarify whether he gets notice pay of 1month for termination of employment under the mandatory provision of section 30 of the Delhi Shops and Establishments Act, 1954, the service of an employee who has put in more than three months’ continuous service cannot be terminated without giving him at least one month’s notice in writing or one month’s wages in lieu of such notice except where the termination of service is for misconduct or as per Andhra Pradesh Shops& Establishment Act 1988
From India, Hyderabad
Labour Laws & Ir
+2 Others


If the employee is not covered under the definition of the 'workman' in accordance with section 2(s) of the Industrial Disputes Act,1947 then he (employee) is entitled to have one month notice or notice pay which ever the case may be according to the Delhi Shops Act. If both the acts are applicable simultaneously then the action taken under I D Act will prevail.
opinion submitted as requested.

From India, Delhi

Thanks Mr.Khola.How can he know whether he is covered under workman or not? Can we understand that if he is getting ESI benefits, he can be considered as workman and if he is not ... as mentioned by you.
Can he quote your opinion while replying to the legal notice served by his company.Can you offer legal/labor consultancy service in this regard to him.If yes please call me at 09246475056 and please let know your contact details

From India, Hyderabad

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White Eagle

Dear anmkdsarma, In these sort of cases appointment letter exit clause plays a crucial role. if you tell what is the exit caluse, reason of termination and some more information. it will be helpful.
From India, Hyderabad
Vasant Nair

When you say that an employee has terminated his services, do I understand that he has put in resignation or do I infer that his services have been terminated by the management.

In either case the factual situation will be as under:

He is covered under the Delhi Shops & Esatbalishments Act. Under the circumstances, since he has already worked for more than three months, one month's Notice Period or One Month's salary in lieu of such Notice is mandatory. The Delhi Shops Act stipulates that if an employee has worked for three months or more, he is obliged to give One Month's Notice to the Employer in case he resigns. Likewise if his services are terminated by the management, he will have to be given One Month's Notice or One Month's Salary in lieu thereof.

It will also be appropriate to visit his Appointment Letter and consider the stipulations contained therein. If the terms and conditions governing "termination/resignation" are more favourable, then follow those.

Please feel free to contact me anytime for any HR related issue.

Best Wishes,

Vasant Nair

From India, Mumbai
Hello friends Iam Tarun from chennai its my pleasure to see you all..... friends you can ask any doubt about HR & Admin.... Iam here to share my knowledge whatever I have.
From India, Madras

Dear Tarun, Thanks for your offer for citehr members. Regards, R.N.Khola Skylark Associates, Gurgaon(Haryana) (Labour Law & Legal Consultants) 09810405361
From India, Delhi
Hi sir I am Naveen working as a Assistant HR in FMCG Distributor company.I am fresher to this site .I received a query regarding terminating an employee who is working for past 3 weeks only due to some misunderstanding with his colleague.I know this is a fraud complaint made against the employee by Superiors .I need details regarding the termination of an employee acc to shops and establishment act Tamil Nadu.I am a fresher and need full details regarding various sectors(salary, working time,break time etc) in shops and Establishment act . .MY SUPERIORS IS NOT HELPING ME TO KNOW MORE ABOUT THIS COMPANY & LAW.KINDLY HELP ME..
From India, Chennai

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