Partner - Risk Management
Hr Head

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Dear All,

While I had opted to serve complete notice period of 60 days on the company eExit tool, I was given a relieving date 30 days from the date of my resignation.

Please note that I did not ask for a notice period waiver at any point in time.

While I was being relieved early my manager told me that I will be paid for complete 60 days of period and that he has discussed it with HR.

However, I got paid only for 30days as my reliving date was set for 30 days from my resignation instead of 60 days.

Also for your reference here is what my appointment letter said about the notice period/relieving:

"Notice Period / Pay: During the period of probation, your services may be terminated by either party giving the other one (1) month notice or Basic Salary in lieu thereof. After confirmation and thereafter, your services may be terminated by either party giving two (2) month's notice or Basic Salary Cash in lieu thereof. The management however, reserves the right to (i) Waive the applicable notice and relieve you immediately upon paying you the Basic salary in lieu of the said notice period or (ii) Insist that you serve the company during the notice period in full or in part thereof, instead of accepting from you, salary in lieu of the said notice period."

I need your legal/HR expertise to help me understand the point# (2) (i) & (ii) as above and figure out if it supports me if:

- I claim compensation for the remaining 30 days of my notice period that I could not serve owing to the part waiver (without having asked for any waiver)?

Please note, I have not joined any other job yet and this is not a matter of greed but, simply fighting a system if I have been wronged or misled ..

I will be grateful for your valuable and sound advice on my future course of action.

- Thanks.

From Switzerland
In general, where the employee has resigned, the company has the right to accept the same with immediate effect or with partial notice period. They will not be liable to pay any compensation for the waiver. However, in your case, the appointment letter says they will pay you basic pay for full waiver. Logically they should pay you also for partial waiver. You can take the matter up with your HR department and your manager.
However, is the amount large ? if not, dont think of any legal steps or complaining to the Labour Officer. You will only end up harming your future career as the company will give bad reference in future

From India, Mumbai
Were you on probation or confirmed employee. From your presentation it appears that you are a confirmed employee.
In such a case the systemic failure indicated your notice period as 30 days erroneously. As you were aware of the fact that the system had indicated a wrong date at the time your expressing your intention to serve the full notice period of 60 days, in my opinion you ought to have brought it to the attention of concerned persons in your organisation.
When your Manager told you that you will get 60 days compensation, at least at that point you could have alerted him about the wrong date of relieving indicated by the eExit tool.
Having got relieved without seeking a clarification before the exit, it appears that you want to fix the problem after it is beyond repair.
As our senior member has indicated it may not be worth fighting it out now. Many companies reserve the right to waive the notice period and still don't pay a penny for the waiver period.

From India, Madras
I wish to bring to your notice that even-though the company reserves the right to waive off the notice period fully or partially, they are bound to pay the basic salary in lieu of notice period as stated in the employment contract. This could be claimed upon by sending a request stating the above clause in your appointment letter along-with your plan for serving full notice period as a responsible employee of the organisation.

In my opinion, No employer can simply waive off the notice period by not paying the salary in lieu of notice period which is legally not tenable, even though it is practiced in some organizations. One-sided contract is not valid.

However this could have been discussed with your HR before relieving for a settlement as per the appointment terms and conditions. I feel no managements want to get into such problem which may affect the reputation of the organization. It becomes the duty of the HR people to do fair and just settlement considering legal and other situational factors.


From India, Madras
Please go through the posts on this forum discussed earlier.
Legally it is open to the company to waive off notice period and not pay notice pay.
This stands scrutiny under legal jurisprudence and law of contract.

From India, Mumbai
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