Notice Period Extension: How to Ensure Compliance When Increasing from 30 to 45 Days

I am working in the HR department, and as per our MD, the notice period is required to be extended from 30 days to 45 days. We have already sent an email regarding this extension but have not provided the hard copy of the letter for employee acceptance. Please help with the process according to compliance.

This constitutes a change in the service conditions, though it is not covered under Schedule IV of the ID Act 1947. Yet, it has to be formally notified and informed to all employees before effecting the change.

Mutual notice of exit on unilateral termination of employment, by way of either resignation by the employee or discharge by the employer other than dismissal of the employee on disciplinary grounds, forms part of the terms of the contract of employment irrespective of the employment cadre. I think that the proposed change is in respect of higher cadre employees only. Even then, it cannot be altered subsequently at the discretion of the employer without notice to the employees concerned.

Therefore, insofar as employees other than workman cadre are concerned, you may consider asking every such employee to acknowledge receipt of the email sent to them in this regard.

Dear Colleague,

Thanks to the colleagues who have given their valuable views on the subject.

For Employees Who Are Not Part of the ID Act 1947

Any appointment order contains terms that are mutually agreed upon between the employer (Party A) and the employee (Party B). Once reduced to writing and signed by both parties A & B, it constitutes a contract in written form. Hence, there cannot be an arbitrary change of a key term later by one party alone, and if done, it becomes invalid in the eyes of the law. However, it does not mean that it cannot be done. How it can be done:

Option 1: Give an addendum letter stating that "Reference to the appointment order given earlier, the clause on the notice period is amended to 45 days with effect from .......... (safely give a prospective date for all practical purposes). Due to these changes, either party is liable to give 45 days of prior notice (or notice pay in lieu of the notice period) in case employment needs to be terminated or the employee wants to leave the services. The management may not accept notice pay from the employee and reserves the right to demand that an employee serve the entire 45 days of the notice period in case of demand from business exigencies. In case of any clarification or grievance on this clause, the employee may approach the HR department or the designated officer and get it clarified."

- Give a hard copy of the letter and take acknowledgment for files and records.

Option 2: Email this content and take acknowledgment from all employees, keeping it for records.

This will be a proper action and legally safe later.

For Workers Who Are Part of the ID Act 1947

Kindly adhere to the Notice of Change Clause stipulated under the ID Act 1947 and then proceed suitably.

Take care,

Dr. P. Sivakumar
Doctor Siva Global HR
Tamil Nadu