Stuck in a Notice Period Dilemma: Can My Company Enforce a 90-Day Notice Without My Consent?

Hi, I am working in the IT sector. I joined my company in Jan 2014. In my appointment letter, it says:

"It is understood and agreed that this appointment, after confirmation, may be terminated by either party by giving to the other at any time, notice in writing of one month. The termination shall take effect at the end of such notice period."

Other Terms and Conditions:

During your employment, you will be subject to the service rules, regulations, and policies of the company applicable from time to time. The terms and conditions contained herein shall be read along with the instructions, guidelines, policies, etc., and amendments thereof as presently applicable to you and as may be amended from time to time and as may be made applicable to you by the company subsequently during the course of your employment.

In Jan 2017, the company revised the policy, and the notice period increased from 60 days to 90 days. Now HR is forcing me to serve a notice period of 90 days because the policy has changed.

I neither received any communication from HR via mail/updated appointment letter nor acknowledged this at that time either by mail or signed document. What should I do? Can the company penalize me if I serve a notice period of only 60 days? How can I complete my FNF and obtain a relieving letter?

I tried to convince the HR Head, but she is not accepting this. She is insisting that I serve the 90 days notice period. What should I do? Please suggest... Should I seek legal advice?

Understanding Notice Period Obligations

You are bound to obey the terms agreed upon in the appointment order, company policies, and procedures. As the notice period is something to which both parties have agreed, any change in that should also be agreed upon by both parties. One party cannot make a decision and expect the other to agree. If you have not received any mail or any other communication explicitly, the HR of your company is wrong, and the officer cannot force you (may request) to serve a notice period of 90 days. This is an unfair practice and a clear violation of contract terms.

Changes in Notice Period Rules

Normally, when companies change the notice period rules (e.g., from 45 to 60 days), then for all newly hired employees, the appointment order will be issued accordingly. All other employees continue to have a 45-day notice period. After a few years, the company may increase it to 90 days, and this is for the new set of employees. Companies with lazy HR and no clue about employee engagement and happiness will do all this repair work and expect magic. My recommendation is to serve whatever period and get relieved from your current establishment. More debate with these kinds of people will fill you with negative energy.

Choosing Your Next Company Wisely

Also, when you join another company, understand the company, their business, values, and culture. Talk to a few employees, see the visibility on social media, Glassdoor, and not just get convinced by the interviewers or HR or a hefty offer.

Thank you very much, Sir. I have one more query. I have clearly stated in my communications to HR that I will serve only a 60-day notice period, as per my contract. Can the company issue an abscond notice against me? And how can I clear my FNF (Full and Final settlement)?

Please communicate the same to HR that you are bound to serve notice of only one month and will go legal if the company doesn't relieve you or hold your FNF. I suggest that if you have to join somewhere else, do this. If not, serve the notice, as sometimes when you leave in the middle of a project, HR may ask you to stay until project completion.

Hi Aniket,

I had a chat with the HR Head regarding this. He informed me that the company has changed its policy, so I am now required to serve a 90-day notice period. What do you suggest I should do?

Thank you.

HR should inform about changes in policies well in advance and not wait until someone resigns. Please verify if official communication has been received either by your HOD, through a notice board display, or with a revision in the HR manual before proceeding. If you are certain the information has not been communicated, you may send an official email regarding this and mention it on your last working day.

Alright, the company has changed the policy, but you didn't accept that change. Also, if an appointment is an agreement, then there should be mutual consent. However, there must be a clause in your appointment letter that the policy can be changed by the employer. Please check it.

Thanks for your response, Ashutosh. As per the earlier thread, the agreement should be accepted by both parties; if one of them fails to do so, it becomes void. Kindly correct me if I am wrong.

Dear Manav, while mutually agreeing to a notice period of one month, you have also agreed to abide by the service rules, regulations, and policies of the company as applicable from time to time. It is not very difficult to prove that the applicable company policy at the time of resignation was a 90-day notice period. Therefore, there is significant justification for insisting on a notice period of three months. In the event that you fail to serve the notice period, the company reserves the right to take action, including the presumption of abandonment.

For an agreement to be valid, it requires mutual consent. You are correct; however, you have also agreed to a blanket clause that allows for the applicability of the company's service rules, regulations, and policies. Hence, there is an arguable point in favor of enforcing the three-month notice period.

Thank you.