Can Employers Legally Hold Your Final Settlement During Notice Period? Seeking Advice

Shilpi Yadav
Dear Cite HR Community,

Is it possible for the employer to hold your FNF when you are serving notice as per company norms?

Kindly help with advice.

Regards,
Shilpi
vmlakshminarayanan
Hi, When an employee follows the proper separation process, including serving the proper notice period, the employer has no right to hold the Full and Final settlement without any proper justification. Nowadays, many corporations hold the salary during the notice period, pay partial salary, and clear the Full and Final settlement subject to the completion of the proper notice period, which is not the right practice.
If you are knowledgeable about any fact, resource or experience related to this topic - please add your views. For articles and copyrighted material please only cite the original source link. Each contribution will make this page a resource useful for everyone. Join To Contribute