What Happens If I Don't Pay the 2-Month Notice Period Fee After Quitting My Job?

Hi, I worked at XYZ Software, an MNC company, as a Programmer Analyst Trainee for one month. There was no working bond, but I was required to give a 2-month notice period. I quit the job without any notice. Now, I have received a letter from the company stating that I need to pay the 2-month notice period amount. My question is, what will happen if I fail to pay the 2-month notice period amount?

Company should not withhold your due payment, if any, and should also provide you with a relieving letter or experience certificate. There should be provisions for legal action in case the bond is not provided.

Will they file any case in court against me? They told me in a letter that I have to pay the notice period amount in 5 days; otherwise, they will proceed with legal action against me. What are the legal proceedings against me?

Thank you.

Kindly review your appointment letter. It might contain a clause stating that upon resignation, you must provide 2 months' notice or a certain amount of money. If such a clause does not exist, there is no need to worry. They cannot sue you or initiate legal proceedings against you. The only action they can take is withholding your due amount (salary) and essential documents such as your experience letter.

Additionally, you only worked for 1 month. Some companies have a practice of issuing an experience letter only if the employee has completed more than 6 months with the company. If your company follows this practice, you would only lose the due amount. Another potential loss could be a positive feedback that may be required in the future by another company.

Thanks

Yes, you are right. In my offer letter, they mentioned that a two-month notice period must be given to resign from the company. I also signed that offer letter. Now, what should I do? Do I need to pay the notice amount or not?

I mean, I signed the appointment letter which mentioned a 2-month notice period, but there is no bond.

How long have you worked there? The answers depend on that. Frankly, the company will spend much more on a court case than they are likely to get from you, so the likelihood of filing a case is slim.

I worked there for 45 days. Is there a possibility of the company recovering the notice period amount and the expenses incurred for the court case from me?

Could you please quote the clause that mentions the notice period from your appointment letter? In my view, the condition of legal proceedings if the notice period is not given is totally illogical. No company enforces this unless you have signed a bond with them. However, if they send such a letter, I would appreciate it if you could quote the clause for better understanding by all.

Thanks

Don't worry, nothing happens. No company pursues recovering the notice period amount. They will withhold pending days' salary and will not give a relieving letter, which is a must for many companies with strong HR. I know friends who have not been paid their two months' notice amount and nothing happened. They won't go to court as they don't want to bear the cost of a prolonged legal battle. At best, you won't be able to join them in the future until you have cleared the dues.

Thank you for all your valuable comments. The problem is solved. Today, I met with my HR. He told me to hand over only the ID card since there is no bond. However, he refused to give an experience certificate and also mentioned that I cannot join this company in the future since I didn't provide a notice period. I just returned my ID card without giving the notice pay amount and left.

Dear Kumar, taking into consideration your complete profile—exposure, educational qualifications, etc.—a clear-cut opinion can be provided. Anyhow, since you worked for a short span, you need not worry about the same. But ensure that a service certificate is not required for joining a new company. You should address any queries regarding the gap period during the interview.

Lastly, please provide proper notice to your employer before leaving and make sure you have a new offer in hand. This aligns with professional ethics, and any outstanding arrears can be settled.

Regards,
Rao

Dear all, I need your expert advice and guidance. My employment agreement has a notice period of 3 months or salary in lieu thereof. I resigned without serving the notice period. After 36 days, the company sent me a letter requiring me to pay an amount of approximately 80,000. If I fail to pay the amount, it will be shown as a debit balance and recovered from me by initiating suitable action. I don't want any relieving or experience as I have worked only for 5 months. I want to know what action can be taken by the company if I fail to pay the amount.