Facing Termination: What Should I Know About Resignation, Notice, and Compensation?

Dear All, Can anybody tell me how to face the termination letter? I have been working with a Pvt Ltd company in Kerala for the last 2 years and 4 months. The management has decided to terminate me effective from 31st December 2010 onwards. I am expecting a letter from the HR Dept and please advise me on the rules and regulations based on the Government of Kerala policies.

Questions Regarding Termination

Should I give the resignation letter if the company asks me for that? Should I complete the 30-day notice period? What will be the compensation package? Will the termination letter affect my career? Will the company issue the Experience Certificate?

Please clarify all these questions and advise me on the stance I should take.

Thanks in advance,

S.A.V.M

Resignation vs. Termination: Understanding the Implications

In a decent way to come out of termination is resignation, in which you will not get any monetary benefits (notice pay, retrenchment compensation, etc.) except your leave pay.

In termination cases, a notice period will not be given. In your experience certificate, they will mention your general behavior as unsatisfactory/unfair. But you will get the notice pay, retrenchment compensation, and if you served for more than 5 years, then gratuity and leave pay.

If your previous employer mentioned your general behavior as satisfactory/unsatisfactory/unfair, then your future employment will have a question mark. Even you cannot hide your previous working experience as the gap of unemployment will create some doubt in the minds of new recruiting agencies. At least, please be fair and loyal to your new employer. All the best.

Regards,
S. Bhaskar
[Phone Number Removed For Privacy Reasons]

Yes, if the company asks you to resign, then it's better for you to resign because termination is not good for your career. If they ask you to resign, I don't think they will require you to serve a notice period, and I would not suggest you do so. When a company asks an employee to resign, they have to pay the notice pay, and the employee doesn't need to serve the notice period.

Compensation Package

Regarding the compensation package, whatever notice pay is mentioned in your appointment letter should be given to you, including the salary for the days you worked in the month of resignation. Plus, you will receive all other benefits that are part of your CTC in your salary structure.

Normally, a termination letter is not favorable, and companies don't prefer to terminate employees unless something very wrong has been done by the employee. You can discuss this with your HR department. They should provide you with an experience letter.

But all these things depend on the reason why your company has decided to terminate you. If you are innocent, then you should receive what you ask for. In any case, try to resign instead of facing termination.

Now, everything depends on the HR of your organization. Just discuss with them and kindly let us know what they said on the matter.

Thanks

Dear subinavm,

Welcome to CiteHR.com! I wholly agree with the excellent suggestions offered by our members. They have also provided the logic and reason behind it, which are perfectly right.

In fact, this (termination) is the 'stick' that management uses to get 'resignation' from employees and saves itself from any further complications arising out of such erratic actions.

The only suggestion that I would like to add: If your performance and conduct have been good, then you can discuss the matter of resignation with the management. It is very much possible, under the circumstances, to get a notice period of one month by giving a notice of resignation taking effect one month later. Depending on the situation, management may also grant you your leave during this period (which again will be debited from your leave account during final payments), which you can use for job-hunting.

It would be very rare and ruthless management not to grant you one month's notice for the sake of continuity of your career. Do give it a try.

Wishing you all the best for your next job.

Thank you all, I haven't received any notice from HR as of now. During the discussion with management, I came to know that they are not interested in keeping me on. Personally, I am also not interested in continuing with this organization. I have almost decided to leave by December 31, 2010, with a one-month notice period and plan to submit my resignation on that day.

Confusion About Resignation or Waiting for Notice

My question is, since they have already decided to let me go, I am confused about whether I should wait for the notice or resign. Normally, this company asks for a resignation letter from employees and releases them immediately.

Notice Period Concerns

According to the job contract, both parties should provide a three-month notice period before terminating the service. However, I doubt that this company will give me a three-month notice period. They usually accept resignations from employees and release them promptly without considering the notice period. This is my concern.

Steps to Take Regarding Resignation

Given the mutually agreed-upon three-month notice period, what steps should I take if they ask for my resignation? Should I submit my resignation mentioning the three-month notice period? How can I ensure that the employer will pay me for the full three months?

I have been working with this organization for the last 2.5 years, diligently fulfilling my job responsibilities. The decision to leave stems from a few individuals in management with a prejudiced mindset. I took a stand against gossip and office politics, which led to their dissatisfaction and my choice to leave.

I kindly seek advice on the best course of action.

Thanks,

S.A.V.M

Dear subinavm, looking into the circumstances as cited in your post, I think what you have decided is the best option. I have come across several cases in CiteHR itself, of several companies not honoring the notice period mutually agreed upon and relieving the employee the next day after his submission of the resignation notice.

It is very sad to find that even HRs (in this forum) tend to support such a move by the management. Despite my opinion that this is wrong on the part of the management and despite the employee's willingness to continue until the notice period, even if the management wants to terminate or relieve him the next day, then the management should give the notice pay.

Under the circumstances, what can you do except to submit your notice of resignation on 31st Dec., giving the company three months' notice; but actually expecting to be "happily" relieved the very next day!

Warm regards.