No Contract, No Problem? Navigating Notice Periods and Leave Rights Without an Agreement

As an employee, if I have not signed a contract or employment agreement, is it possible for my employer to enforce a notice period? Is there any minimum notice required as part of labor laws? Also, without a contract, what is the minimum eligible CLs and sick leave as per law for an employee having served for a period of 1 year with the company? Are there other ramifications since I do not have a contract?

Dear friend,

Have you been issued an appointment letter? If yes, then what terms are mentioned in the appointment letter? Both sides need to abide by these terms.

Under the provisions of the Indian Contract Act, 1872, an appointment letter is considered a "contract" between the employer and employee.

Thanks,

Dinesh Divekar

You need to check your offer letter or any other document which explains the terms and conditions of the employment as per your current company. If it specifies any notice period to be served, you can follow that.

Minimum notice period will be 23 days, and CLs and SLs differ from one company to another.

Notice Period and Contractual Obligations

There is no mention in the offer letter about holidays or the notice period. The offer letter only covers compensation and the joining date. In this case, can my employer enforce me to stay for a month? Or can my employer show those days of notice not served as a liability to the company and reduce it from my salary?

Since there is no official contract signed, can I put down my resignation papers on one day and leave the next day? Also, is there any law that states that a minimum notice of a certain number of days has to be served even if there is no contract for a person working for one year?

At least you need to serve a 23-day notice period, which is commonly considered best practice in the corporate world. The reason for this is to facilitate the transition for the new employee. If you resign and then leave the company the next day, the company has the right to withhold your salary. If no transition is required, you can leave immediately, but this should be approved by the HR Department.

Only because of the need for a transition, the company may require you to serve a 30-day notice period. The reason for this is to ensure that your resignation does not negatively impact production or the business.

Regards