Hi, I resigned from my position with my current company and have provided a 3-month notice. My contract states that either party should give a 3-month notice, but it mentions that the employer company reserves the right to require payment of salary in lieu of the notice period. Will I receive compensation if my employer waives my notice period and asks me to start immediately, considering that I am prepared to serve the full 3-month notice period?
Regards, SUBRAMANIAN
From India, Chennai
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1Regards, SUBRAMANIAN
From India, Chennai
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Dear Subramaniyan,
In the absence of a notice clause for unilateral termination of the contract of employment, neither party is required to give notice. If, on the contrary, a notice clause is present prescribing a notice period, it should be the same for both the employer and the employee, including any lieu of condition as an alternative to ensure compliance.
Regarding the issue, by giving advance notice to serve the entire notice period in full or in part before resignation as per the notice conditions stipulated already, the employee makes an implied offer which is accepted by the employer upon acting on the resignation. Any action by the employer such as immediate relieving before the expiry of the notice period, for any reason according to their convenience, will constitute a counter offer. This counter offer requires the acceptance of the same by the employee who is willing to serve the notice period already offered by them. Logically and legally, therefore, the employer is obligated to pay the notice salary in that situation.
From India, Salem
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In the absence of a notice clause for unilateral termination of the contract of employment, neither party is required to give notice. If, on the contrary, a notice clause is present prescribing a notice period, it should be the same for both the employer and the employee, including any lieu of condition as an alternative to ensure compliance.
Regarding the issue, by giving advance notice to serve the entire notice period in full or in part before resignation as per the notice conditions stipulated already, the employee makes an implied offer which is accepted by the employer upon acting on the resignation. Any action by the employer such as immediate relieving before the expiry of the notice period, for any reason according to their convenience, will constitute a counter offer. This counter offer requires the acceptance of the same by the employee who is willing to serve the notice period already offered by them. Logically and legally, therefore, the employer is obligated to pay the notice salary in that situation.
From India, Salem
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You have resigned, and the organization has not terminated you. If you would like to get released earlier, you will be required to pay in lieu of the notice period.
In my opinion, as the organization has not asked you to go but rather based on your resignation, the organization may release you early without any payment. This is common practice in many organizations.
S K Bandyopadhyay (WB, Howrah)
CEO-USD HR Solutions
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USD HR Solutions – To strive towards excellence with effort and integrity.
From India, New Delhi
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In my opinion, as the organization has not asked you to go but rather based on your resignation, the organization may release you early without any payment. This is common practice in many organizations.
S K Bandyopadhyay (WB, Howrah)
CEO-USD HR Solutions
[Phone Number Removed For Privacy-Reasons]
[Email Removed For Privacy Reasons]
USD HR Solutions – To strive towards excellence with effort and integrity.
From India, New Delhi
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Withdrawl of Resignation and Notice period.doc
Resignation-Not ice Period- T._Purushotham_ Reddy_vs_United _India_Insuranc e_Company_..._o n_21_Nove.pdf
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(Fact Checked)-The user's reply is correct in stating that the employer is bound to pay the notice salary if they waive the notice period and relieve the employee immediately. This is based on the implied offer and acceptance principle in employment law. (1 Acknowledge point)