Facing Job Uncertainty: Can My Employer Fire Me Without Notice Despite Good Performance?

I have been working in an MNC for over a year now. The company told me to "start looking for another job." I fear getting sacked or fired soon. My performance is up to the mark, and I have not done anything that violates the company's policy.

My question is - Will I get to serve my notice period, or can they fire me with immediate effect?

The relevant section from my offer letter reads:

Notice period and termination

a. Either party may terminate the employment by giving a mandatory minimum of 3 months' notice to the other party (also applicable during the probation period). The Firm may, at its discretion, with or without conditions, agree to waive off the 3 months' notice period requirement, either wholly or partly.

b. The Firm may terminate/suspend your services, at its discretion, at any time immediately upon written notice to you if it has been alleged and prima facie established through the preliminary internal inquiry that you have committed (i) any heinous criminal act or any offense involving moral turpitude (the term "Moral Turpitude" includes crimes having an inherent quality of baseness, vileness, or depravity with respect to a person's duty to society in general.), (ii) sexual harassment (adjudicated guilty as per the Firm's policy and local laws) or (iii) another act that threatens or is likely to damage the Firm's reputation.

Hi, As the employer already indicated you to look for another job, your notice period has already started, as per my observation. Your employer didn't set any deadline, but it would be prudent on your part to start looking for another job as early as possible. Also, I feel that they might not insist on the notice period for you. All the terms in the offer/appointment letter are just for documentation purposes. If the employer decides to part ways with you, they will find reasons to let you go, and wherever possible, seek an amicable and proper relieving process, which will be better for your career.

Termination of Employment for Misconduct

The second part is all about termination of employment for misconduct. Though it is not legally enforceable to dismiss an employee without conducting an inquiry, the same is not a subject for discussion now. The clause (a) requires that either party should give 3 months' notice to terminate the contract of employment. Though in respect of an employee who has not been given any managerial powers and functions, this clause is just a flower pinned on his shirt but of no use, the employer is under an obligation to serve notice before you are terminated. The clause does not speak about waiver of the notice period or reducing the same by payment of salary in lieu of notice. But the law suggests that if notice is given, salary equivalent to notice should be paid to the employee.

The above said are law and need not be put into practice in a world that is just ignoring law, especially labor laws, on the presumption that the employees do not demand enforcement of the law and if they demand, their future would be spoiled because the employers have a trump card with them, i.e., negative remarks in background verification. Therefore, like any other employee in any MNC/new generation company who would prefer to join similar kinds of establishments, you should also ignore the laws and facts and start looking for another opportunity.

Handling Termination Notices

Normally, after a verbal communication, there will not be an order in writing that you are terminated but you will only be asked to resign. If you resign and put a notice period of three months, like "treating this as notice of resignation as per clause ... of the contract of employment, I may be relieved on... (future date coming after three months)," the management will take the tool that they can relieve you with immediate effect, and that also without compensating the notice period payment as required under the statute. You can either defend it by approaching the appropriate authority or leave the company accepting a formal relieving letter which would give you a promise of a safe career. Obviously, if you choose the former, your career would be stuck. You will get government jobs or employment in Public Sector Units for which the negative remarks by a private employer that you gave a complaint against him is not at all relevant and the background verification done when you join a PSU would not go to the extent of past employment, past PF records, etc., but it would be confined to police verification of any criminal past. Therefore, if you prefer to join PSUs or government service, or start the establishment of your own, you can fight with your employer and send a message to such employers but if you do not have that option in hand, it is good to leave it and start getting better opportunities.

Advice on Employment Conditions

Remember, before you accept any offer, read the conditions of employment carefully and make sure that you are joining the right organization.

I understand this is a tough situation. If your company has suggested you start looking for another job, it might mean they're considering letting you go. To get a clear picture, talk openly with your supervisor or HR. Ask why and if you can serve your notice period.

Look at your employment contract for details on termination and notice periods. Check your company's policies too. If things are unclear or seem unfair, consider talking to an employment attorney for advice. Communication is key in these situations. Discuss your concerns and try to understand the company's decision. It could lead to a resolution or negotiation.

Do not panic at this juncture; you need to look for employment, considering that you have very little time on your hands. The company has already indicated that they don't want to continue with you any longer. I don't feel the company will terminate you, but they might ask you to tender your resignation at any time. You need to discuss the matter with your department head because all this has started from your boss. Request him to allow some more time. The HR is a puppet in the management because they have to act as per directions in a lawful manner. In the present condition, the notice period holds no meaning because the employer can waive it for their vested interest or, as a gesture of goodwill, can terminate the service by paying the notice amount. I don't feel they will pay you in lieu of notice. It would be better to leave the job, collecting your service and relieving letter, and Full and Final settlement.