Can My Company Legally Extend My Notice Period Without My Consent? Seeking Advice on a 3-Month Notice Dilemma

I joined a construction company in January 2022. While joining, the notice period was mentioned in the appointment letter as 1 month.

Updated HR Policy Amendment

Suddenly, the company raised an updated HR policy amendment for separation. For my grade, they changed the notice period to 3 months.

Resignation and Notice Period Dilemma

Now I have received a good offer from another company, but they need me to join in 1 month. Can I give the resignation with a 1-month notice period and leave? The updated HR policy document states that I have to serve a three-month notice period. Not agreeing to this will be considered a non-complete exit process with the threat of legal action. Am I bound to serve the same notice period? I have received suggestions from Google that "The employees would only be governed by the agreement that was executed by them bilaterally. Extension of the notice period by your employer unilaterally is illegal and cannot be enforced. Legally, you are only bound to serve a 1-month notice, which was agreed upon during your joining. There would be no legal infirmity."

Kindly suggest the correct solution and the way to deal with this.

Legal Implications of Changing Terms and Conditions

Legally, the terms and conditions can only be changed by giving a notice of change following Section 9A of the Industrial Disputes Act. However, an employee who is not a workman (which includes all employees who do not have managerial powers like sanctioning leave of subordinates, initiating disciplinary action against subordinates, appraising the performance of subordinates, etc.) is bound to follow the conditions made during employment as well. Therefore, if you are a manager (not merely by designation but by functions) and the notice period was revised and communicated to you, you should follow the revised one. Conversely, if you are not a manager, you can challenge the notice period. You should have challenged it when the communication came.

Notice Period for Employees Under the Industrial Disputes Act

Another legal provision states that concerning employees who fall under the scope of the Industrial Disputes Act, a notice period of even one month will not be maintainable since the worker is not obligated to give notice to leave an employer, even though an employer is obliged to give it when terminating an employee.

As Madhu has rightly pointed out, you have not mentioned your cadre. Are you a manager with subordinates reporting to you, or are you merely an employee?

If you are a manager with subordinates and if the change of notice period from 1 month to 3 months has been communicated to you, you will be required to follow it.

A seasoned employer always amends the policy after communicating it to employees in writing and obtaining their acceptance.

Regards,

MVK