Dear Seniors, Can the company increase the notice period to 3 Months thought it has been mentioned as 1 Month in the Appointment Letter ? Regards, Deep
From India, Coimbatore
From India, Coimbatore
Companies can change their HR policies. But they should make amendment to the appointment letters and get acceptance of the employees. Pon
From India, Lucknow
From India, Lucknow
Notice Period Extension in Appointment Letters
Most appointment letters include a clause stating that changes can be made at the discretion of the management. Therefore, if a company decides to extend the notice period from one month to three months, they are within their rights to do so. On humanitarian grounds, the company can ask the HR department to conduct an employee session to convey the reasons for implementing such a change.
From India, Mumbai
Most appointment letters include a clause stating that changes can be made at the discretion of the management. Therefore, if a company decides to extend the notice period from one month to three months, they are within their rights to do so. On humanitarian grounds, the company can ask the HR department to conduct an employee session to convey the reasons for implementing such a change.
From India, Mumbai
Most of the employees switch over their company frequently. It has trouble to the employer. So that most of the employers like to extend the notice period to 3 months.
From India, Madras
From India, Madras
Dear Friends,
Is it fair that the employer recovers the notice period from the gross salary?
In my appointment letter, there is no explanation that the notice period will be deducted from the gross salary. It is only mentioned that if an employee wishes to switch jobs before three months, the employee has to pay three months' salary.
What are your opinions on this matter? If I do not pay the gross salary, they will not release me.
So, what can we do in this case? Please give your valuable advice.
Regards,
Bhavin Parmar
From United States, Edison
Is it fair that the employer recovers the notice period from the gross salary?
In my appointment letter, there is no explanation that the notice period will be deducted from the gross salary. It is only mentioned that if an employee wishes to switch jobs before three months, the employee has to pay three months' salary.
What are your opinions on this matter? If I do not pay the gross salary, they will not release me.
So, what can we do in this case? Please give your valuable advice.
Regards,
Bhavin Parmar
From United States, Edison
Hi, the company cannot unilaterally change the terms of employment. The employee has to agree to it, especially where it is a critical item like a change in the notice period. The offer letter/appointment letter is a contract based on which the employee has joined the company. So naturally, it cannot be changed by the employer at his whims and fancy.
From India, Mumbai
From India, Mumbai
In general, Notice period recovery is on basic unless specifically mentioned in appointment letter. But there is no statutory rule available to defend. Pon
From India, Lucknow
From India, Lucknow
Dear All, If company is having staff strength of 50 then it is legal to make 3 month notice period?
From India, Surat
From India, Surat
AFAIK, there is no legal provision avl for notice period. But as per ID act, if you are retrenching a workman, one month Notice period shall be served or pay them 1 month wages in lieu of N.P. Pon
From India, Lucknow
From India, Lucknow
Dear Pon, It is not mentioned in my appointment letter. It is just written 3 months salary. So what we can calculate? Basic or Gross???
From United States, Edison
From United States, Edison
B.Kumar, In many organisations, basic only considered for N.P. In your case, the word 'salary' may be interpreted as Gross salary if they wish to do so. Pon
From India, Lucknow
From India, Lucknow
Can anyone help me explain how the notice period works? I mean, what rights does a company have if an employee gives a 3-month notice period? Can the company withhold the salary until the employee completes the 3 months?
From India, Mormugao
From India, Mormugao
Industrial Establishment Standing Orders Act 1946
Under the Industrial Establishment Standing Orders Act 1946, it is mandatory to declare the method of termination of employment. An offer of appointment is issued based on the registered service conditions of employees (Service Manual) - Main and Supplementary. For any change in the service manual, the same should have the consent of the employer's representatives (i.e., management), employees' representatives (i.e., union/association), and government representative (i.e., Labour Commissioner).
Notice Period and Consent
To increase or decrease the notice period, consent from all parties is required. In case there is a provision in the service manual that both the employees and the employer have to give a notice of three months for quitting the service, they have to do so or give notice pay in lieu of that. If the employer gives a notice of one day and asks the employee to leave the company without assigning any reason, it could be construed as an industrial dispute. The employee can file a writ for the violation of fundamental rights and get reinstated pending the issuance of a charge sheet.
Understanding Notice Pay
Regarding notice pay, notice pay means the basic pay fixed for holding a substantive post in a time scale. Other allowances such as DA, HRA are allowances and not pay; medical benefits, school fee reimbursements are fringe benefits and not pay. In my opinion, when we are referring to pay only (notice pay), we should consider pay only. When we talk about salary, we should consider salary, and when we talk about wages, we should consider wages.
From India, Calcutta
Under the Industrial Establishment Standing Orders Act 1946, it is mandatory to declare the method of termination of employment. An offer of appointment is issued based on the registered service conditions of employees (Service Manual) - Main and Supplementary. For any change in the service manual, the same should have the consent of the employer's representatives (i.e., management), employees' representatives (i.e., union/association), and government representative (i.e., Labour Commissioner).
Notice Period and Consent
To increase or decrease the notice period, consent from all parties is required. In case there is a provision in the service manual that both the employees and the employer have to give a notice of three months for quitting the service, they have to do so or give notice pay in lieu of that. If the employer gives a notice of one day and asks the employee to leave the company without assigning any reason, it could be construed as an industrial dispute. The employee can file a writ for the violation of fundamental rights and get reinstated pending the issuance of a charge sheet.
Understanding Notice Pay
Regarding notice pay, notice pay means the basic pay fixed for holding a substantive post in a time scale. Other allowances such as DA, HRA are allowances and not pay; medical benefits, school fee reimbursements are fringe benefits and not pay. In my opinion, when we are referring to pay only (notice pay), we should consider pay only. When we talk about salary, we should consider salary, and when we talk about wages, we should consider wages.
From India, Calcutta
Deepu, the query you made is valid only for a certain aspect because the company policy is invalid under the laws, i.e., the policy shall be questioned by any employee in front of the court. In India, as a democratic country, it is our right to work, and employees can change their working places according to their will.
Company Policy and Legal Implications
Then comes the company policy; it acts like just a policy and doesn't have any legal entity. So, don't waste your precious time, don't waste your opportunity, go ahead and catch the stars.
Well wishes,
Linnan Kochi
From India, Mumbai
Company Policy and Legal Implications
Then comes the company policy; it acts like just a policy and doesn't have any legal entity. So, don't waste your precious time, don't waste your opportunity, go ahead and catch the stars.
Well wishes,
Linnan Kochi
From India, Mumbai
Dear Seniors, thank you all for your valuable replies. My directors want to enforce immediate termination of employees without a 1-month pay, 3-month notice, or 3-month gross salary from the resigning employees. Although the company has the right to amend its policies, is the above policy justifiable?
Regards,
Deep
From India, Coimbatore
Regards,
Deep
From India, Coimbatore
Resignation and Termination Notice Periods
Resignation and termination should have the same clause with regard to the notice period. The proposal made by your directors is not in line with good HR practices. Even the ID Act stipulates a 1-month notice period for termination if the workmen/employees have completed 240 days of service.
Regards,
Pon
From India, Lucknow
Resignation and termination should have the same clause with regard to the notice period. The proposal made by your directors is not in line with good HR practices. Even the ID Act stipulates a 1-month notice period for termination if the workmen/employees have completed 240 days of service.
Regards,
Pon
From India, Lucknow
Dear Pon, it is not mentioned in my appointment letter. It is just written as 3 months' salary. So what can we calculate? Basic or Gross?
Clarification on Salary Calculation
Dear Bhavin, as per your appointment letter, it is clearly stated that the 3 months' salary is based on whatever you are receiving every month. For instance, if you are getting a gross salary, it refers to the gross salary, and if you are receiving a basic salary, it pertains to the basic salary.
Regards,
Vaishaali
From Netherlands
Clarification on Salary Calculation
Dear Bhavin, as per your appointment letter, it is clearly stated that the 3 months' salary is based on whatever you are receiving every month. For instance, if you are getting a gross salary, it refers to the gross salary, and if you are receiving a basic salary, it pertains to the basic salary.
Regards,
Vaishaali
From Netherlands
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