Confused About Notice Period Start Date and Legal Limits? Need Advice on Next Steps

Hi All, The notice period duration in my company is 2 months. In my appointment letter, it was mentioned that either party can terminate employment by giving 2 months' notice or salary in lieu of. However, in the exit policy of the company, they have mentioned that the notice period will start after the acceptance of resignation.

Notice Period Start Date

Now, I want to know when the notice period will start if I resign:
1) The day I send the resignation email.
2) The day the resignation is accepted.

Legal Compliance and Reporting

I have also heard that according to labor law in India, the maximum notice period in a private organization can be 1 month, but here it is 2 months. Can I report this matter to the ministry? If yes, then how? I want to address this issue and teach them a lesson against such a bad policy.

Please suggest.

Notice Period Interpretation

Notice periods can be interpreted differently, but they should be the same for both employee and employer. This means that if the notice period starts from the date of acceptance of resignation, then it should be the same for termination. The date of the notice period will commence from the day on which the termination letter is handed over to the employee. In your case, you can proceed in either way unless stated otherwise in your contract of appointment or in the standing orders of your company.

Notice Period Duration

Moving on to the notice period, it is not mandatory for it to be one month. For Executives or Managers, it can even be three months, depending on the terms of the employment contract. For workmen protected under the Industrial Disputes Act, there may be little to no notice period for them to leave the company. However, to terminate them, the company is required to provide one month's notice if employing fewer than 100 employees or two months' notice if employing 100 or more workers.

Legal Action and Settlement

Initiating legal action against the company regarding the notice period or its interpretation is not a simple task. Therefore, it is advisable to have an amicable discussion and reach a settlement.

Regards,
Madhu.T.K

Dear Madhu.T.K, I want to know if I resign on 10 Oct and my resignation is accepted on 17 Oct, will the notice period start from 17 Oct or 10 Oct? What if I don't receive an acceptance of resignation within 2 months?

I hope I have answered your question. If there is no communication regarding the acceptance of your resignation, you can consider it accepted. However, the issue arises when you need a relieving order. In that case, it becomes a matter of understanding, and nothing more. Generally, an employer is expected to respond within a reasonable time; otherwise, the employee can consider the resignation accepted. Furthermore, an employer should not jeopardize an employee's career or force them to continue working without a valid reason.

Regards,
Madhu.T.K