Is a 60-Day Notice Period Fair for Employees Not Yet Confirmed After 8 Months?

Dear All,

I am working with a BPO and am quite upset with the norms and conditions. We are required to serve a 60-day notice period, or else we need to pay i.e. Basic+DA of the CTC.

I just want to know if a person who has not been confirmed even after serving for almost 8 months and now wishes to leave the organization is liable to serve the 60-day notice period.

Please help, as employees are coming to me with the same questions. When I discussed the matter with my seniors, they referred to it as mandatory. I am really in a big dilemma.

Regards,
Shivani

Hi Shivani,

It depends on the company policy whether they keep the same number of days as a notice period for employees during the probation period. In most organizations, the notice period during the probationary period is typically 7 days or 15 days. Additionally, if one serves the notice period, all the CTC components are paid at the time of F & F settlement.

Regards,
Amit Seth

Hi Amit
Thanks for the prompt response
I do understand it vary from comp to comp. But in my company there is no such clause given in the appointment letter. After confirmation if he/she is leaving then they are suppose to serve the 60 days notice period. Even if they are sacking some one who is in the probation period then in that case they don't pay anything.
Thanks
Regds
Shivani

Hi Shivani,

I appreciate your concern for the employees. You say that no such clause, such as serving a notice period, is in the Appointment Letter. Then the employer has no right to introduce a new policy and say that it has to be followed and is mandatory. If the employer thinks that an employee needs to follow a policy, he has to either mention it in the appointment letter or in a separate letterhead and take in the employee's written confirmation regarding the same. Generally, employees in the probationary period aren't paid anything if they are being removed because of performance or misbehavior.

Ravi.

Hi Shivani,

Thank you for your message. I completely agree with you. However, the employees here are from the CSE department, and they are being manipulated. Even my seniors are not willing to add any clause. Is there any documentation under the government rules that can strengthen my point?

Thank you,
Regards,
Shivani

Hi Shivani,

I don't think in Indian Labor laws we have any clauses, at least relating to this case. That's the reason many organizations are floating new policies at their whims and fancies.

However, it makes sense that the employee is bound to the employer through an Appointment Order or any other written agreement made by him.

In your particular case, your organization's whims are ruling the roost because no employee wants to spoil his/her time just for a mere amount (basic + DA) in your case. However, if an employee decides to go legal, your company won't have any answers in defense.

However, like most companies, check whether there is any clause in the appointment order, which says that "The Employee is bound by the General Service rules which may tend to change with time."

Even if the employee signs the order having the meaning of the above, he is bound to the rules.

However, I do think that as an HR person, discuss with your seniors/management about the issue and in the future incorporate any policy in the appointment order or take a written confirmation regarding the same.

Regards,

Ravi

Hi Shivani,
You said I think this is in violation of the principles of natural justice. In my experience, penalties (in this case, notice salary) must be balanced for both the employee and employer. Please get legal opinion and make the change in your appointment letter immediately, else this clause will not be legally enforceable - if the employee takes recourse to a labour court.
Others with a stronger legal background may kindly add their views.
Hope this helps you.
Regards
Ryan

Shivani,

I don't think it's mandatory to serve a 60-day notice period if the employee is not permanent. As you mentioned the employee has already served 8 months and is still waiting for confirmation, indicating that the organization does not intend to make the employee permanent, regardless of the reason. The bottom line is that the organization does not want to confirm that employee.

However, depending on the company's policy, employees may be required to serve the notice period as outlined in the company policy manual, which can vary from company to company.

In this case, the employee can serve a minimum of 15 days and a maximum of 30 days of the notice period since he/she is currently a trainee. Please ensure to review the employee's appointment/offer letter and check the employment terms and conditions set by your company. If the letter signed by the employee states a 60-day notice period, then the employee should adhere to it, as failure to do so may lead to legal issues.

Regards,

Dev P. Ray

True, dear. Companies' policies and the offer letter, appointment letter should be carefully read before signing.

Regards,
Nivi

Hello Shivani,

There is always a separate rule for confirmed and probationary employees. I do not know about the other companies much, but within my organization, employees who are confirmed will have to serve for 2 months from the date of resignation, and those who are probationary have to give a notice period of 15 days only.

Regards,

Dear Shivani,

Please read the model standing order, and you will get your answer. If management does not confirm after the completion of the probation period, it is deemed to have been confirmed. In any case, no policy can be against the principle of natural justice. Whatever management applies to you, the same is applicable to them.

Kamlesh K

Shivani,

It depends on the company policy. But before confirmation, you have to serve 7 days or 15 days, depending on the company.

Regards,
PM

Hi Shivani,

It depends on the company policy. If the clause in the appointment letter states that the employee needs to serve a notice period from the Date of Joining (DOJ), then they need to serve or give Basic + DA. If it is from the Date of Confirmation (DOC), then it's not required. Please check the appointment letter.

Thanks,
Amit

Hi Shivani,

I understand that as per the Bombay Shops & Commercial Establishment Act, 1948 Rule 66, the employer terminating the service of the employee will give 14 days' notice if the service is less than 1 year; otherwise, one month's notice is to be served upon the employee. Similar provisions are incorporated under the Industrial Disputes Act, 1947 Section 25 F. However, there is no rule that the employee has to give notice of leaving service unless it is incorporated in the service rules and approved by the Government Labour Department. Again, there is an issue of whether the particular employee is a workman as defined under the ID Act, etc. If not, then the appointment letter is an Employment Contract, and both parties have to adhere strictly to it. If there are any deviations from the terms of the appointment letter, these changes should be in writing, and both parties should sign to confirm the same. Any violation of this practice may invite legal action in the Civil Court or Labour Court, as the case may be.

Regards,

Paresh Pathak

Hi,

Your contractual obligation is limited to what is given to you in writing. If the appointment letter does not mention 'NOTICE' during probation, then either party, i.e., the employer or the employee, has the right to terminate the contract without any notice.

Generally, in the appointment letter, there is an omnibus clause that states the employee will be bound by the general terms, conditions, and rules of the organization. Any policy decision of the company regarding 'notice' will be applicable.

If there is no such clause in your appointment letter, then either party has the right to terminate the contract without any obligation of notice to the other party.

Cyril

Dear Sivani,

A single-sided agreement holds no weight in the eyes of the law. An agreement must be mutual to be effective and carry legal significance. In your situation, as your appointment letter does not specify any terms, please refer to the Model Service rules and/or the Code of Conduct applicable to your organization. It would be advisable to seek advice from a legal expert before proceeding.

Keep smiling 😊 - everything will be okay.

Regards,
NKT

Shiavni,

As the others have mentioned, this is entirely up to the management. In most cases, the notice period and salary therein lieu are mentioned but not so stringently followed. However, no one can comment since we don't know much about your company and whether there have been any such precedences.