Understanding Service Period: Does It End on Resignation or Relieving Date?

Hi Seniors, I joined X company on 02.01.2011. The appointment letter states that you must serve a minimum of 1 year, failing which there will be various recoveries.

Now the question is, does this service period refer to the time from the joining date to the resignation date or from the joining date to the relieving date? I would appreciate your help.

Regards, Ravi

The date will always be for the relieving date because the organization pays you for the period between notice and relieving; hence, legally, you are an employee of the organization until you are relieved.

Cheers

First, read the content and clauses of the offer/appointment letter issued to you at the time of joining. Also, check whether there is any clause of bond or agreement with your X company mentioned in the letters. Alternatively, you can consult with your HR team for more clarity.

Regards,
Sunil Kumar Verma
AM-HR
Indiabulls Group.

Thank you for your message. The notice period is 3 months. I am ready to serve the full notice period, and the relieving date will be in February '12 (joining date is 02.01.2011). The appointment letter contains the following clause: 'Also, in the case where an employee leaves the services of the Company before completing one year of service from the date of joining, the amounts paid to the employee towards Notice Pay, paid to their previous employer, as well as Relocation Expenses and Joining Bonus (if applicable), will be recovered in full from the employee.'

Additionally, there is no bond in place. I am requesting further clarification on this matter. Your prompt attention to this request is greatly appreciated.

Best regards,
[Your Name]

In my opinion, the service period spans from the joining date to the relieving date as stated in your appointment letter.

Regards,
Pradeep

Policy on Recoveries for Early Resignation

If an employee leaves the company before completing one year of service from the date of joining, the following amounts will be recovered in full from the employee:

1. Any amount paid to your previous company (i.e., buyout option) towards your notice period.
2. Relocation expenses, if you have relocated from another place to the current location to join the company.
3. Any joining bonus paid to you before joining the company.

I hope this is clear for you.

Warm Regards,
Shirisha
Senior Associate-HR

You have to serve this company for one year to avoid the mentioned recovery, or you need to pay the same.

Regards,
Vijay