Is It Fair to Have Only a Notice Period Without Salary in Lieu? Seeking HR Advice

Dear HR Gurus,

I am in a dilemma regarding the "notice period" clause of the appointment letter. My query is: Is it authentic to have only a notice period and not salary in lieu of notice? For example, can we have the clause this way: Either party, the employee and the employer, can terminate the employment by giving one month's notice. Is it mandatory to have the option of salary in lieu of notice? I would eagerly welcome your recommendations.

Thanks

Hi Ankit,

I understood your query. I would like to suggest along with an example from my company. In my company, when an employee resigns, if he/she has to serve a notice period, let's say for 2 months (if applicable), the employee can go on leave during his/her notice period. No salary is deducted during the notice period, except for the dues/full and final settlement.

If the employee wishes not to serve his/her notice period, then he/she can pay the two months' notice period salary to the company.

I hope I have cleared your doubts.

Regards,
Ankit
09869851356

I have a question here. Does that mean the company can force a person to stay for the complete two months even if the employee is ready to pay the money? The manager says it is up to the discretion of the manager when the employee should be relieved from the company.

Ideally, salary in lieu of notice by either side should be included in the appointment letter. However, add one clause: it is at the discretion of management to accept salary in lieu of notice if offered by the employee, and the employee may be asked to serve the full notice period. The reason for the addition of this clause is that if an employee holding a very crucial responsibility cannot tell HR, "I will pay salary in lieu of notice, please relieve me today," HR also needs time to find a suitable replacement.

Regards,
Bhavan

Hi Everyone, I have a query regarding termination policy. Can any company change their termination policy at any time? In my offer letter, it is mentioned that I have to serve one month's notice or I have to pay the equivalent basic salary in lieu thereof. However, the company has provided us with some other papers in which it is stated that we have to serve 2 months' notice or pay any salary or fixed allowance. Is it possible for any company to make changes in lieu thereof?

Thank you.

I need your advice on the following: If someone has resigned and is ready to pay the notice period salary, is it based on CTC or Basic? (I know a few of our friends may say it depends on company policy or the sole discretion of the management.) My intention is, in general, what is applicable.

Thank you.

Dear all, I was working as a Manager in an MNC in Chennai. As per my offer letter, the notice period stipulation is as follows:

"You shall give the organization at least two months' notice of your intention to resign. The organization reserves the right to accept your resignation with immediate effect at any time during the notice period. The organization shall be entitled to terminate your employment at any time by giving one month's notice or without any notice on payment of one month's salary in lieu of notice."

Despite this, the CEO terminated my services without giving me one month's notice or one month's salary in lieu of notice. In such a situation, am I eligible for one month's salary in lieu of notice? Kindly guide me on what measures are available to me.

Best regards,
Vinay