Seperation Of Service

One of my friend is working in a very senior position, As per his appointment letter he can leave the service of his own only after two years by giving 3 months notice, he is not a confirmed employee as of now,moreover the company is not paying him the compensation as per his appointment letter for last 11 months due to financial problem. Can he leave the job by giving 3 months notice, What could be the implication, Please advise.

Dear friend,
Can you make it clear whether his monthly compensation is not at all paid for the last 11 months or paid less than what is mentioned in the appointment letter.

Does your friend hold shares to the firm? What does the clause for the two years of continuous employment say ? Could you share it in actual words?
Ideally every clause is conditional. Hence if we read it, we might be able to find the way out.
Looking forward to hear from you!

Dear Friends , Thanks for your valuable inputs.



Please note that first of all my friend's monthly compensation has not been paid uniformly for last 11 months(i e his monthly net take home is around Rs 70,000/- p.m and he has only been paid on an average Rs 16000/- p.m When asked, the management always said that because of financial problem, the compensation is not getting paid properly but the salary would be streamlined and the backlog would be cleared very soon My friend does not hold any share in the farm. The appointment letter has a clause which says that the employee can leave the service of his own only after 2 years of service by giving a 3 month's notice otherwise he has to surrender 3 months of his salary.

The latest update is that, my friend has has completed only 1 year of service and he is not even a confirmed employee. Since the organization has failed to honor his monthly compensation for last 11 months as per his appointment letter, he has already submitted his resignation to the management with a 3 month's notice period requesting the management to release him with all his pending dues. What could be the implication, Please advise.

Dear friend,

From your reply it is discernible that the management admits its obligation to the compensation agreed in the letter of appointment and its failure to comply with on a/c of financial difficulty.It also seems that on completion of his first year of service under the management within the period of the minimum stipulated service, your friend tendered his resignation suo moto with 3 months notice due to the continued failure to pay the monthly compensation for the last consecutive 11 months.It is therefore clearly indicative of your friend's natural apprehension about his future and his firm decision to jump out of the ship before it sinks.The possible implications as I understand would be as follows:

(1) Notwithstanding the failure of fulfilling one of the specific conditions of the contract to pay the agreed monthly compensation by the management, the contract was terminated at the instance of your friend. Therefore, the management has to accept his resignation and releive him on the expiry of the notice period.

(2) The question of clearance of the dues to your friend would be a separate issue in case of failure by the management.

Dear Friends
Thanks a lot for your valuable inputs. Regarding clearance of the dues(past 11 months) of my friend, kindly advise if the Management has the intention to release him without clearing his backlogs, is there any way out to recover the dues.

Better let him jump out of the sinking ship and reach the shore safely first and do the salvaging later through Civil remedy.In such a contigency seek the advice of a Civil Lawyer for the recovery of the dues.