Is It Legal for a Company to Backdate Termination Letters and Withhold Salaries?

Hello, experts. I have been terminated due to redundancy in my position at the company. This information was communicated over a call, and I was given 3 days for handing over. However, I was promised to receive one month's remuneration as notice. Unfortunately, I did not receive any formal written communication despite my follow-up attempts. After three days of verbal information, my access to the company's email was revoked. I received a termination letter after my last working day at the company. Is it legal to do so? Can a termination letter be issued backdated?

Furthermore, concerning the full and final settlement, the company has withheld my last month's salary and notice period salary. Is the company allowed to do this? Is it legal?

Hi, it is very unfortunate that you have been shown the exit door. The termination letter date can be postdated after the relieving date. There is nothing wrong with it.

Please ensure you receive one month's notice pay along with the salary for the days worked until the last working date. Normally, in such cases, FFS should be expedited and settled ASAP.

Termination letter can be dated on the last working day

As it is a termination, the organization needs to pay the terminal benefits, pending salary, notice period pay as per the employment, and any other dues liable. There is no right to hold the same.

Termination Orders and Notice Pay

First and foremost, no orders of termination at the instance of the employer can be backdated or have a retrospective effect.

If the facts leading to termination as narrated in the post are true, the question of notice pay payable by the employee does not arise at all as it is the case of unilateral termination of the contract of employment by the employer, and the recovery of the same is illegal. In fact, it is the employer who has to pay the notice salary to the terminated employee as per the exit clause, if any, of the contract of employment.

The poster can lodge a complaint against the employer in this regard with the local labor office.

Legalities of Termination

The legalities of your termination depend on your employment contract and the laws in your country or state. In general, employers are required to give written notice of termination, even for redundancy. The notice period is typically one or two months as specified in the contract. If written notice is not provided, the employer may owe pay in lieu of notice.

In your case, if your employer failed to give you written notice until after your last working day, it may be illegal. Withholding your last month's salary and notice period salary could also be illegal. Consult an employment lawyer to understand your rights.

How to Deal with Wrongful Termination

1. Keep copies of all relevant documents.
2. Consult an employment lawyer.
3. File a complaint with the appropriate government agency.
4. Consider taking legal action.

I hope this helps.