Early Release Approved, But Surprise Payback Deduction: Can I Get My Money Back?

Hi all, I resigned from an MNC company and requested an early release. The notice period was 3 months. My manager approved the request, and on the requested date, I exited the company, 20 days earlier than expected.

After a few days, I received the Full and Final (FNF) settlement amount via email, where I noticed a deduction labeled as payback. I was not informed about this payback by anyone. Shouldn't it have been the HR's responsibility to inform me about the deduction and provide details? Can I claim the deducted amount back? Additionally, according to policy, the payback should be deducted based on the gross salary, but they deducted it based on the Cost To Company (CTC).

Please assist me with this matter. Thank you for your time.

Hi,

If the notice period and its conditions are part of your appointment letter, then HR does not need to inform you again for the same. Therefore, you cannot claim for the same. Regarding deductions on CTC, you can ask for clarification from them.

Have you made a request for any waiver of the remaining notice period at the time of submitting your resignation? In the absence of such a request for a waiver of the remaining notice period, your employer is not bound to give you any notice regarding deductions or non-deductions from your F & F settlement.

I requested for an early release with a specific date, to which my manager agreed, stating that you will be relieved as per policy.

Dear friend, your management showed leniency towards your request to be released prior to the completion of the three-month notice period to which you were bound. Your manager approved your resignation but did not grant an exemption for the notice pay.

The general condition is that you either serve the notice period or pay for it. The actions of your management are justified. You can ask HR to provide you with details about the account and deductions made in the Full and Final settlement. It is advisable to review your appointment letter to understand the exact terms regarding the notice period—whether it is based on basic pay or equivalent to three months' pay. If it is based on the basic pay, you are well within your rights to raise an objection.

Thank you.