Resigned Without Notice: Will I Still Get Paid for My Last Month's Work?

Hello Seniors, I submitted my resignation to my company a week ago. Surprisingly, they did not request a notice period from me despite it being mentioned in my offer letter. The clause states, "Termination of employment by either party shall be one month's notice in writing or payment in lieu of notice. Such notice may not be offset by unused leave."

Concern About Salary Payment

My concern is whether I will receive payment for the month I have worked. Upon querying, I received a response stating that since I did not serve any notice period, my salary for the working days of the last month would not be considered and would be treated as notice period buy-back.

Thank you.

As per company rules and as mentioned in your offer letter, the company has the right to recover the amount from your salary. However, since you have provided a one-week notice period, the company must adjust the shortfall days after taking into account the one-week notice period, and the remaining payment must be made to you.

Thank you.

Regards

Whatever days you have actually worked, including the 1-week notice period, get deducted from the 30-day notice period. If there is something payable to you, then they have to pay you. If there is still an amount remaining as recoverable, then you have to pay the recoverable amount to them.

You have not mentioned whether you are a probationer or a confirmed employee. The notice period for either party should have been specified in your appointment order, and the employer has discretion on the matter. If you are confirmed, then one month's notice is required. Please wait until your resignation is accepted and you receive the acceptance letter, wherein they will specify the relieving dates and any notice period adjustments.

Regards,
Adoni Suguresh
Sr. Executive (Personnel, Administration & Industrial Relations) (Retired)
Labour Laws Consultant

I agree with Sh Adoni Suguresh that you should have mentioned the status of your appointment in your thread, whether you are a probationer or a confirmed employee. Both categories of employees are governed by different sets of rules.

For instance, no temporary workman or probationer shall be entitled to any notice or pay in lieu thereof if their services are terminated. However, for terminating the employment of a permanent workman, one month's notice in writing shall be given either by the employer or the workman, or paid in lieu of notice. Sh Tushar Swar has rightly mentioned that as you have given one week's notice period, the company has to adjust the shortfall days after considering one week's notice, and the rest of the payment is payable to you.

Regards,
BS Kalsi
Member since Aug 2011

Understanding Leave and Notice Period

Leave and Notice Period are two different things; one cannot set off the leave balance for the Notice Period. If there is a shortfall in the Notice Period, it is recoverable from the salary.

Leave Encashment Policy

Regarding Leave Encashment, please check the policy to determine if it is cashable and, if so, whether it is based on the basic pay or the gross pay.

Termination and Compensation Issue

I'm Raghu, working for VRP Telematics Private Limited as a Sales Manager in Karnataka for the LED TV division. I joined the company on 11/07/2016, and on 28/09/2016, the company shifted to the mobile business through a mail confirmation. On 25/10/2016, they sent me a termination email stating that the LED business has been shut down and they no longer require my services, giving me time until 31/10/2016. I requested one month's time or one month's salary as compensation, but the company did not agree and is now asking me to send a resignation email to HR. A month ago, the company moved me to the mobile division, but the termination letter states that I have been removed from the LED division.

I would like to ask for your suggestion on whether I can file a complaint with the labor commission. Please advise as there are no openings elsewhere.

Regards, Raghu

Dear Sir,

Please check your appointment letter, which may include a clause regarding the transfer of services, specifically mentioning interdivisional transfers. If you can demonstrate that the transfer was made with the ulterior motive of termination, it would constitute unfair labor practice and could be raised as an industrial dispute.

In the case that you are still under probation, your service can be terminated before confirmation unless otherwise specified. However, there seems to be a situation of malicious intent and unfair labor practices.

Gpagarwal, Lucknow