Termination Without Notice: Legal Considerations
How legal is it to terminate an employee without any notice, domestic enquiry, and show cause under the clause in the appointment letter: "If at any time in the opinion of the Company, which is final in this matter, you are insolvent or found guilty of dishonesty, disobedience, disorderly behavior, negligence, indiscipline, absent from duty without prior permission, committing a breach of any of the terms, conditions, and stipulations herein contained and on your part to be observed and performed or in violation of one or more terms of this letter, or any other conduct considered by the company detrimental to its interest, your services are liable to be terminated forthwith, without any notice/salary in lieu of notice period, without prejudice to any other action, rights, or remedies available at law."
Challenging Termination in Court
How can this be challenged in court by my Manager (not a workman)?
From India, Mumbai
How legal is it to terminate an employee without any notice, domestic enquiry, and show cause under the clause in the appointment letter: "If at any time in the opinion of the Company, which is final in this matter, you are insolvent or found guilty of dishonesty, disobedience, disorderly behavior, negligence, indiscipline, absent from duty without prior permission, committing a breach of any of the terms, conditions, and stipulations herein contained and on your part to be observed and performed or in violation of one or more terms of this letter, or any other conduct considered by the company detrimental to its interest, your services are liable to be terminated forthwith, without any notice/salary in lieu of notice period, without prejudice to any other action, rights, or remedies available at law."
Challenging Termination in Court
How can this be challenged in court by my Manager (not a workman)?
From India, Mumbai
My humble presence in the text of the clause itself is void and does not abide by the law. Therefore, any termination without notice or inquiry based on such a clause defined in the appointment letter would be illegitimate.
Recommended Procedure for Termination
I recommend issuing a show-cause notice, obtaining a written statement, constituting a committee, conducting an inquiry, and if any irregularities are found, drafting the proceedings. Subsequently, if misconduct is confirmed, proceed with dismissal by serving a termination order. Otherwise, there is a risk of facing legal action, and the company would be liable to compensate, including interest, arrears, etc.
Please rephrase the clause as the current wording is deemed void.
Thank you.
From India, Chennai
Recommended Procedure for Termination
I recommend issuing a show-cause notice, obtaining a written statement, constituting a committee, conducting an inquiry, and if any irregularities are found, drafting the proceedings. Subsequently, if misconduct is confirmed, proceed with dismissal by serving a termination order. Otherwise, there is a risk of facing legal action, and the company would be liable to compensate, including interest, arrears, etc.
Please rephrase the clause as the current wording is deemed void.
Thank you.
From India, Chennai
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