If you need the sevrice of the staff and want him to serve the notice,
1. Immediately first put down the same in writing and have him him sign the paper as his acceptance. Ensure you also send an email to the staff. This is crucial for you.
2. If the staff does not cooperate and still decides to leave, inform him of legal consequences. And have a legal letter prepared and handed over to him before his LWD.
3. The legal notice must have the clause of compensation that you would recover from him such as cost to company incurred for recruiting, placement commission, training etc etc.
4.The Legal notice should also mention that company will not give a NOC or release/releaving notice and this will be deterimental in his joining a new firm with clean records.
5. You can play with his emotions verbally and ask him to comply with the management, which is just a matter of 30 days.
6. If however, the staff is ready to pay all the cost, you would have to relieve him with testomonials/certificates with/without remarks, as one cannot bound someone.
7. Get to know the reason for a staff not cooperating. I smoke something for the staff not cooperate.
One more important thing, which is out of context to your question, but important, ensure that IT and Business information is well protected during his Notice Period.
Hope above will be useful.
21st October 2009 From Saudi Arabia, Riyadh