Can I Take Legal Action for Being Terminated Without Notice or Warning? Seeking Advice

I wanted to know if I can file a case against my employer for asking me to leave without any prior notice or written warning. My employer confirmed that my performance was not up to the mark, hence I can no longer work with the firm. However, in my offer letter, it is very clearly mentioned that my services can be terminated by either side by serving a 30-day notice or immediately by paying the amount of the notice period in lieu by either side.

My employer suddenly terminated me one day, and when I refused to sign my termination letter, they asked me to go home. They said they would inform me whether they would ask me to resign or terminate my employment, whereas my service had already been discontinued effectively immediately. They will only confirm if they will terminate me or normally release me. As per my understanding, either way is illegal and not as per the norms of the offer letter provided to me.

Yesterday, my company director called me to come and collect my relieving letter and sign the required documents, after which my full and final settlement will be credited. Now I want to know whether I should sign the documents or what actions I can take against my employer for terminating my services like this. Can I claim my notice period salary from the employer for terminating my services immediately and any accrued bonuses legally? I am not sure if they will even provide my dues in the full and final settlement.

Thank you all for your kind suggestions. 

Importance of Termination Letter Wording

The wording in the termination letter is crucial when discussing the legality or illegality of a termination. This should align with the appointment letter unless there is a certified standing order applicable to the employee.

Based on the post above, we can only guess that you were a confirmed employee and not a probationer, and your performance appraisal did not happen before you were asked to leave. You were not holding a position involving decision-making authority, or you were not in a managerial role and were terminated without receiving notice pay. If these statements are true, then your claim for recovery of notice pay and challenging the termination will be valid; otherwise, not.

The issue may take time to yield results, and during this period, you may have expended time and money. This might be why individuals in unorganized sectors lacking collective bargaining power do not confront such employers, allowing the latter to repeat such actions against employees. This could be why employers emphasize a robust hire and fire policy as part of employment law.

Employer's Actions and Natural Justice

The employer's actions contradict the principles of natural justice, even if concerning a managerial-level employee who may not be protected by labor laws. You have the right to inquire about the reason for termination, and the HR representative is obligated to provide it. While no reason is required for terminating a probationer, a confirmed employee should only be terminated after being informed of the reasons and given an opportunity to respond.

Therefore, I suggest that before considering legal action, taking into account factors like career, time, and money, you should first request the manager to clarify the reasons for termination. If this approach fails, then you may involve the Labor Officer. Unfortunately, these officials may not always prioritize the interests of workers but may serve the employers who remunerate them regularly, often on a monthly basis. This may not be the case universally. If you encounter cooperative officers, a conciliation meeting in their presence can be beneficial.

Subsequently, the Department will decide whether the matter should be escalated to court, and in many instances, the employer may opt for a settlement by reinstating the employee or providing compensation and notice pay as per prevailing laws.

Regards, Madhu.T.K