Forced to Resign Without Cause: How Can I Fight for Fair Compensation?

I was asked to resign with no cause. The reason stated was performance, but at no point was I put on a performance improvement plan or included in any discussion. I was told to resign and leave within 7 days. Compensation for the current month was prorated. My letter of appointment states that either party can terminate with 90 days' written notice. I have discussed the same with the management, but they say the maximum they can do is give one month's compensation, and they are not sure they will do that.

This is ridiculous, and I want to do something about it. Any advice?

In case whatever you have mentioned is correct, it's not an ethical and professional approach. If you have time and wish to move further, it can be legally challenged. Also, if you fall under the workmen category (not clear from your response what position you hold), then it would be an illegal termination.

If you have resigned, then you don't have many options. The company has the option of accepting it and reducing the notice pay. If you do not resign, they would terminate you.

In that case, where do you stand? You will get 3 months' notice pay but will receive a relieving letter that states you are terminated.

I agree with Mr. Banerjee. There are two options available to you. If you want a clean chit, resign and accept the Full and Final settlement (FNF) offered by the company. The management has the authority to reduce your notice period and relieve you immediately.

If you prefer a three-month notice pay, the company will terminate your employment, and your certificate will reflect this decision.

Resignation and Legal Implications

You have resigned, which means you tendered your own resignation letter. This cannot be easily and legally retracted. However, have you specified in your resignation letter to be relieved as per service rules or after 3 months? If it is stated, then you can legally demand and enforce 90 days of gross salary, as you will be ready to return to the office/work.

If you have not mentioned a relieving date, the company can relieve you at any time, waiving your notice period.

If the company has not acknowledged acceptance on your resignation letter or if HR has not issued an acceptance letter yet, you should write an email/send a letter to HR, referencing your resignation letter and stating that your relieving will be on the 90th day (insert date) as per the Appointment letter. In this scenario, you are entitled to the gross salary if the company relieves you earlier.

Regards,
RDS Yadav

Labour Law Adviser, Director - Future Instt of Management and Technology