Leaving Without a Relieving Letter: What Legal Issues Could I Face?

I want to know the legal issues involved if I leave the company without getting a relieving letter. My scenario is I have joined this company two months back, and I found that the work they promised is nowhere near to the work they are giving me. So I searched for a new job and found it. Now my present company is not ready to relieve me before 1 month, even though I am ready to give one month's salary. So if I just stop going to the office and join my new company, will there be any legal issues.

Thanks and Regards,
Devendra

It depends on your existing company policy and your new company's policy. Find out whether your new company is ready to accept the relieving order.

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My new company is ready to hire me without a relieving letter. If I provide them the offer letter, it is fine with them. My present company has stated, "You need to give one month's notice period when you leave and the company can terminate my service either by giving one month's notice or one month's salary" in the offer letter. So, will my present company be able to take any legal action against me if I just stop going?

Any help or pointers will be of great help.

Thanks and Regards,
Devendra

Then do one thing: apply for a long leave due to some medical reasons. Let us wait and see. When you are ready to give your one-month salary, they are supposed to give you your relieving order. If not, you can send a lawyer's notice asking for the relieving order.

Cheers,
Anu

Hi Devendra,

If your new organization is not insisting on a relieving letter, do not insist on it from your last organization. I believe you are also not planning to include this in your CV in the future. If you do insist on a relieving letter, you may have to pay one month's salary if it is mentioned in the offer letter.

Warm regards, Sujeet Kumar Strategist, HR, Training & Development

Hi Sanjeet,

If I just leave the company without getting any relieving letter and join another company, can they take legal action against me? Please note that I have given them a resignation letter and one month's salary, but they are not ready to provide the relieving letter before the one-month period. Additionally, I have obtained a signed copy of the resignation letter from my manager as evidence that I have indeed submitted my resignation.

Regards, Devendra

Davendra,

I would suggest you get the relieving letter because your current employer can sue you for working in two organizations at a time. Why take chances? I recommend you be proactive and take legal or moral action against your current employer (this is possible because you are prepared to forego your month's salary - which is required as per rules) and get the relieving letter somehow.

Mr. Devendra,

Please submit your resignation by citing the clause of your appointment order that allows for the provision of one month's notice or payment in lieu of notice.

Express your willingness to forgo your salary before joining the new company. I anticipate no issues with your current employer.

A. Radhakrishna Sai Manager-HR LINKWELL TELESYSTEMS (P) LTD., Hyderabad.

Hi Devendra,

You can submit the resignation along with the photocopy of the appointment letter. After that, you can approach the company legally with a lawyer's notice. Remember to keep a copy of all documents you submit to the company. This will help you.

All the best,
Anu

Hi Davender,

If you joined 2 months back and resigned, there is no need for any relieving letter unless you filed a bond for the employment. Just join your new firm and forget all.

Rajkumar Jaiswal
Assistant Manager - HR
Vatika Group
www.vatikagroup.com

Hi Dev,

Your company has no say in when you are ready to pay one month's salary in lieu of the notice if your written contract or agreement clearly states that either party can terminate with one month's notice. There have been enough cases from the High Courts of different states. If this is not the case, you have to consider the company you are working for and its background. Has it taken anybody to court, etc.? Also, consider the present company you are joining. Are they willing to take you without a relieving letter, and are you open with the company that has offered you the job? Based on these details, you can make a decision. As I mentioned, it depends on the clauses in your appointment contract.

Good luck! :)

Bye,
Veer

Hi,

I don't know your situation specifically, but let me comment in general.

A contract is binding to both the employer and the employee, and hence any action outside the confines of this contract constitutes a breach. The company can sue you for that breach, as much as you could have sued them if they had breached. Live by the confines you signed the contract signifying agreement to the conditions.

Your new employer should be prepared to buy you out of the current contract. If they can't, then you should buy yourself out. Also, I think it's a litmus test for your integrity. If you can afford to breach this contract, your new employer should expect you to do the same on your next move.

I do not agree with the advice to apply for sick leave. It's unethical. We as HR practitioners are the custodians of the labor laws, policies, and procedures. Let's lead by example.

It's up to you, but your integrity is in the spotlight.

The other option (if it's applicable in your country) is to commute your leave days.

Later HR

Hi Dev,

I believe no employer would want to resort to legal action for a matter involving a new employee (2 months old) as the bond between them is not yet established. The core issue here is trust, which they have already compromised by failing to provide the promised work.

Stay calm and proceed with joining the new organization. Wishing you a happy and successful future.

Regards,
A Radhakrishna Sai
Manager - HR
Linkwell Telesystems (P) Ltd.

Dear Friend,

A relieving letter shows that you were an honest and sincere employee. In any case, if it is not possible to submit a relieving letter, then acceptance on the resignation letter can be submitted.

Neetu

Dear Colleagues,

Let me lend my voice to the ongoing discussion on departure procedures at the workplace. Basically, the Initiating Document of Employment most times dictates the limits of both parties, length of notice required on both sides, and the like. However, nonetheless, the most important thing on the part of the departing employee is to GIVE THE APPROPRIATE NOTICE.

Ironically, and no matter how radical it may sound, upon the expiration of such notice given, the Employee has all the right to move. The issue of an Acceptance Letter of Resignation is only to prove that the erstwhile employee left without any indebtedness, or that in the next job, he can be trusted to give such notice as well. But on the whole, the most important thing is the NOTICE OF RESIGNATION.

Thanks.

Dear Devendra,

Since you have already had your resignation letter accepted, it will suffice. You can submit the relieving letter later.

No company would like to take legal action as it happens regularly and legal costs are too high.

Regards,
Sujeet Kumar

Relieving Order is essential for an employee. The reasons are as follows:

1. It states that you worked for a certain period in a company.
2. The company you plan to join may not ask for it. However, considering how long you intend to stay in the same company, it is essential for future reference.
3. You may send your resignation letter via registered post with A.D. to ensure that the company receives your resignation letter.
4. In your case, if you have worked for a company for only 2 to 3 months, there is no need to worry. Just post your resignation letter via registered post with A.D. You also need not highlight the company name in your resume, as in two months, very little could have been gained.

Best wishes, N. Neelam

Let me add my pearls of wisdom here too.

A lot of the discussion so far centers on whether you would be breaching your contract by starting with a new employer without getting your letter. What about your present company breaching their agreement to provide you with suitable work? Even if it was a verbal agreement, it gives you something to defend your decision if you do leave.

Frankly, I can't understand companies being so determined to stand in the way of an employee's departure. What can they hope to gain from this?

PS I'm NOT a lawyer or industrial expert, so don't rely on my advice! :)

Progress Enterprise

Dear Devendra,

While not receiving a relieving order, you need to consider the following things:

1. Ensure that you are not engaging in dual employment, meaning that while on leave from Company A, you do not take on new responsibilities at Company B.

2. Make sure you are not violating any clauses of your employment contract with the current company.

3. Have sufficient evidence showing your intention to smoothly obtain relief without causing any issues for your current company.

Although the current company may accept you without a release letter, if you are joining another company, they may want to know the reason.

Regards,
Sathya

Hi Everybody,

In my opinion, a relieving letter is essential. It's fine if your new employer is accepting you without a relieving letter, but what if your past organization blames you for not properly handing over your responsibilities/tasks and making mistakes that led to losses for the company, etc. Therefore, it's always better to leave a company in a very amicable way with a proper relieving letter.

Regards,
Subhash Chandra

Dear All,

Even I am sailing in the same boat but on the other side of the coast (that is, the employer).

Please help me out with your advice, suggestions, or guidelines. One of our software developers has joined our competitor and is undergoing training with them. He has not been relieved from our side. After forwarding the resignation, he suddenly disappeared from the office. We are insisting on a proper notice period because he was solely working on a very unique project, and all the skills and competency we expect him to transfer to his replacement.

We are not obstructing his future, but we also do not want the project to suffer. The company management has decided to take legal action against him and his new employer to set an example for existing staff.

Please tell me whether we can take legal action against him. Additionally, can his new employer allow him to join them? Can we ask his new employer to stop providing training to him?

He was with us for the last 2+ years.

Please help! 😢

Regards,

Mona

Hi Mona,

The following things can be done:

1. You can take legal action - only if he has committed somewhere in writing that he will not leave your company or resign with sufficient notice or notice pay in lieu thereof.
2. You cannot take any action on the new employer. But you can only request them to stop training him until he settles his dues/completes the project. In this case, the next employer being your competitor, the probability for this is very low.

These are all the practical difficulties in the service industry HR. The only solution is a long-term solution like:

1. Have people readily available on the bench [of course, you have to pay them!]
2. Have some employee engagement activities to reduce the attrition of key people like this person.

Regards,
Sathiymoorthy Iyer

Hi,

Can someone suggest a way to obtain a relieving letter? I didn't have any notice period mentioned in my offer letter, nor was there any specified amount to be paid before obtaining the relieving letter. However, the company is not providing me with the relieving letter or clearing my PF.

Thank you.