Legal Consequences for Skipping Notice Period: Can Employers Take You to Court?

Can an employer take legal action against an employee in criminal or civil court if the employee has not served the notice period?

Yes, the employer can file a case in civil court, not in criminal court, as it is not a crime. However, if you want to file a case against an employee for not serving the notice period, then I think you should first check the terms and conditions of the appointment letter given to your employees. Most companies include a clause regarding a shortfall in the notice period, which stipulates that any failure to serve the specified notice period or any shortfall period shall be deducted from the employee's salary.

In such a scenario, if the employee still owes dues to the company, the company can recover them, and the employer cannot file a civil case against the employee. If there are no pending dues or if they cannot be recovered from the employee's salary, you may send a formal notice for recovery. If the employee still does not pay, then you may proceed to file a civil case against them.

Regards,
Tushar Swar

Mr. Tushwar, I also have a doubt. If the employer could adjust an employee's salary who has not served the notice period, can the employee get his salary through adjudication because he has worked? Moreover, regarding PF and ESI, how could the employer pay if the employee filed a case with respect to the EPF & MP Act 1952? What will be the solution? Please share.

Regards,
SAKTHI / TAMILNADU

After the deduction of PF and ESIC, whatever amount is derived, the notice period shall be recovered from that amount. Therefore, there is no impact on PF and ESIC contributions for not serving the notice period.

After all deductions, if there is still an amount payable, then that amount shall be paid to the employee.

Regards,
Tushar Swar

If an employee doesn't give notice one month prior to leaving the employment as agreed, and the employer suffers losses due to that, and if the employee was informed in advance that such losses are likely, he can be sued for damages.

Regards,

Handling Employee Absconding: Legal Steps

Failure to serve a notice period shall be considered employee absconding. It is advised to publish an advertisement in a local newspaper seeking the employee to report to the company since they have absconded. Subsequently, lodge an absconding complaint with the same and a copy of the advertisement. Send a notice to the employee to compensate for the loss and to report to your company.

Failing to comply, you can sue them through civil proceedings with the absconding criminal complaint and the advertisement as supportive documents.