Worried About Legal Trouble for Skipping Notice Period? Here's What You Need to Know

I left my job and did not serve the notice period. My employer is asking for two months' salary from me, and I am not in a condition to pay them the amount. They sent me a final letter asking for the amount, or they will take legal and criminal charges against me, also telling me to pay with a 12% per annum interest rate.

Legal Implications of Not Serving Notice Period

I want to know what they can do against me. I am already in a job. Will it impact my present job? Is it a criminal case they are referring to? Will I be sent to jail? What else can happen against me? Can I take one year's time to pay the amount?

Please, please help me. Thanks in advance.

Don't panic; refer to your employment contract regarding employment terms and notice period. You should have served the notice period, as immediately leaving a job can impact the organization's performance.

If two months are mentioned as the notice period, then you have to pay two months' salary as notice pay. I would advise you to discuss with the HR department to find a middle path. The company will have the right to recover from you. So, it's better to talk with them to resolve this issue.

Don't worry. As per your employment contract, you may have to serve a notice period. In case of failure to serve the notice, if your agreement specifies that you must pay two months' salary, then you are obligated to do so. If the agreement is silent about the notice period, then you are completely off the hook. If your agreement only mentions the notice period and does not specify the two months' pay, then you may not need to pay any amount. Hence, it depends on your agreement.

Do not worry; you will never be sent to jail for not paying the two months' salary because you failed to serve a notice period. It's not a criminal offense; it is just a breach of contract where your employer may demand you to pay the amount or require you to serve until your notice period is completed.

Well, I would say, don't panic. Neither have you committed any crime, nor is it a criminal offense. You don't have to go to jail, but you have to pay the amount to settle the issue.

Also, you can consult with your employer, explain your situation politely, and try to resolve it mutually by understanding.

Nothing to panic, but think about moral turpitude. Whatever they said is correct. But one thing you have forgotten is that you are in the HR department and should be a role model. It will also affect your reputation with your present employer if you were not informed about this at the time of joining. If you violate the contract yourself, how can you initiate action against others in your company now?

It's better to pay them. Before that, you should meet them in person, explain your financial difficulty, and ask for time.

Regards,
Palaniswamy Ram

Understanding the Consequences of Not Serving a Notice Period

Please refer to the terms of your appointment letter. If a notice period is mentioned, you will have to pay the specified amount. These are potential problems that may arise in the future:

• If your current or future employer requests feedback, receiving a negative review could harm your chances of being selected.

• Legal action may be taken.

It is advisable to meet with them, explain the circumstances that led to your sudden departure, and request a waiver of the amount due to the situation being an emergency. The company has the discretion to waive the amount, and this approach may lead to a positive outcome.

Don't worry! You are not going to face any criminal charges by just leaving your job without serving any notice period. You can ask your previous employer to settle the issue through your final account settlement, if any.

Regards,
Rajesh

You should not have made the mistake of leaving the job without serving a notice period or paying in lieu thereof if there was a stipulation in the terms and conditions of your appointment letter. However, I am providing the reply to your queries seriatim as under:

1. Impact on Current Job

I want to know what they can do against me. I am already in a job. Will it impact my present job? - Yes, it may affect you if your current employer seeks verification of your past service, which I doubt. My assumption stems from the fact that your present employer likely did not request a clearance certificate from your previous employer when you joined the new company.

2. Nature of the Case

Is it a criminal case to which they are referring? - No, it cannot be exactly termed as a criminal case, but they can certainly sue you for damages due to the breach of the service contract.

3. Possibility of Jail

Will I be sent to jail? - No, they do not have the authority to send you to jail.

4. Settlement and Payment Terms

What else can happen against me? Can I take one year to pay the amount? - I don't think they will give you a year to pay. The best course of action is to approach your previous employer and settle the issue once and for all. This is the suggestion provided by most of our senior members.

Regards,
Bs Kalsi
Member since Aug 2011

I see you have not committed any crime by not serving the notice period, but you have made a mistake by not doing so. However, since you have already joined another company, the first thing I would suggest is to communicate with your HR department. Inform them that you had to leave your previous job for a serious reason, and inquire if they can assist you with any solutions. Remember, communication is the best option you have.

Thank you.

I suggest it's better to pay them and take your relieving letter to avoid any unwanted circumstances in the future. Also, it will not affect your current job. They may conduct a background verification check, and if it is flagged, your current company may ask you to leave.

So don't worry and follow this approach.

Regards,
Gunjan

It is not clear from your message whether you have a service agreement or not. In the absence of a service agreement, I do not think any huge amount is payable to the employer. Please check the terms and conditions of the offer. Notice if the pay is based on the gross salary or basic salary. If you are looking for a year to pay the notice period, it would impact your pay now. Please inform your present employer of the commitment of the notice pay and seek a temporary loan to pay. It is better to settle the matter amicably and get your service certificate; otherwise, it will result in an unclear exit, which may have future implications.

Notice Pay and Legal Implications

With respect to notice pay, as per shops and establishments, it is 30 days maximum. If they insist, you can represent the matter to the Labour Commissioner of the area with the mail or letter sent to you. It will be resolved at their end. I see no criminal rights your past employer can pursue against you in the present situation unless there is sufficient proof. Yours is only a breach of the terms and conditions of the offer. Nothing to worry about. I suggest you have a clear exit.

Regards.

If you are suffering from financial crises and are not able to pay the notice period amount, consult your former employer. If you have money, please settle your arrears and complete your exit formalities.

Suggestions for Second Thoughts

Consider the following suggestions:

1. Settle for a resignation acceptance letter if your company is not providing a relieving letter (considering your financial crises).

2. Explain your problems to the former employer; they may consider your issues. Convince them to provide a positive reply for your employment verifications and to sign a resignation acceptance letter. With a resignation acceptance letter, you may not require a relieving letter. This letter must include your date of joining along with the last working date.

Regards