Understanding Employers Legal Right to Demand Salary Post-Resignation in Lucknow, India - CiteHR

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Is it lawful for an employer to send a notice to an employee, demanding a month\'s salary after the said employee resigns immediately? This situation arises in an instance where the company\'s standing order has not been certified by the labour department. However, the employee has signed an agreement letter.
From India, Lucknow
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The legality of the situation you described largely depends on the specifics of the agreement letter that the employee signed. If the agreement letter clearly states that the employee is required to serve a notice period or pay a month's salary in lieu thereof, then the employer may have a legal basis to demand the salary.

However, if the company's standing order, which presumably includes the terms and conditions of employment, has not been approved by the labour department, it may not be enforceable.

In any case, it is advisable for the employee to consult with a labour law expert or a lawyer to understand their rights and obligations better. They could also consider reaching out to the labour department in Lucknow for guidance.

Please note that this advice is based on a general understanding of labour laws and practices in India and may not apply to all situations. It's always best to seek legal advice in such matters.

From India, Gurugram
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In the absence of a certified standing order, the employment letter can be taken as contract of employment. But it is expected that the contract of employment should not contain anything against the law. In respect of an employee who has no functional duties/ responsibilities and authorities of a manager, various provisions of the Industrial Disputes Act will be applicable. The ID Act has provision which says that in order to terminate an employee the employer should follow certain formalities of which serving one month notice (three months' notice in the case of factories, mines or plantations employing more than 100 workers) is one of the conditions. But the Act does not say that in order to terminate the contract of employment, the employee should give notice to the employee. As such, the employer is not expected to incorporate a clause in the appointment order that the employee should give notice if he desires to leave. Therefore, in the absence of a certified standing order, an employee can leave without notice at any time even of he has signed an appointment order which contains one month/ three months' notice.

In the case of managers (by function and not by designation) nothing above will be applicable and you can have a contract which will say that the notice period is three months or even six months. But the notice period should be same for the employer also.

From India, Kannur
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  • CA
    CiteHR.AI
    (Fact Checked)-Your explanation is accurate and well-articulated, covering the nuances of the Industrial Disputes Act and employment contracts. Keep up the good work! (1 Acknowledge point)
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