Employee Leaving Without Notice to Join Former Contractor: Is It Legal and What Can We Do?

Hi all,

Can anyone help me? It's urgent.

One of our employees is leaving the job without giving prior notice and joining another employer who was formerly our contractor. Now, I would like to know if it is a lawful or unlawful act by the employee. If it is unlawful, how can I take action against them? Under which act or rule can we take action against our own employee?

In the present case, the employee is leaving without proper notice but not without information. If he is not serving the notice period, you can recover the notice pay from him. If he refuses, you can adjust the same as part of his full and final settlement, i.e., against his salary for the last month and other dues, if any. However, please note that you should not adjust it against his statutory dues like PF, gratuity, etc., in case he is eligible for it.

Hope this would help you.

Thanks and Regards,

Avika Kapoor
Kapgrow Corporate Advisory Services Pvt. Ltd.
Delhi
9310270884

Thank you, Avika Kapoor.

In fact, I would like to know if there is a legal act under which action can be taken against the employee by the employer.

Ayaz

For not serving notice period as Avika said, you can adjust it to the F&F. Also, you can send him a mail saying that according to his appointment letter, he has to serve whatever notice period is required and inform the person that in the event of not serving notice and absconding, you will be issuing a termination letter. Regarding the legal action to be taken for joining your client, you will have to check the appointment letter given to see if you have any clause saying that he can't join your competitor or client. If so, you can send him a legal notice. But it is a very tedious process.