My wife has resigned from her job and is serving a 30-day notice period as per company policy. She works in a small IT firm and has completed 9 months with the company. Now, she is on the notice period. She did not sign any bond with the company, but the company's appointment letter just mentions one line in the terms and conditions: "EMPLOYMENT TERM MINIMUM WILL BE 1 YEAR."
However, they are now asking her to pay 3 months' full salary to the company because she did not complete the 1-year term. Even though this was not mentioned in the appointment letter, they are demanding the payment if she wants to be relieved from her duties.
We have requested them to provide all demands in writing, but they have not done so via email.
Please advise on what steps to take next. Is it legal for them to demand 3 months' salary without it being mentioned in the terms? Your help is appreciated.
Thank you.
From India, Hyderabad
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However, they are now asking her to pay 3 months' full salary to the company because she did not complete the 1-year term. Even though this was not mentioned in the appointment letter, they are demanding the payment if she wants to be relieved from her duties.
We have requested them to provide all demands in writing, but they have not done so via email.
Please advise on what steps to take next. Is it legal for them to demand 3 months' salary without it being mentioned in the terms? Your help is appreciated.
Thank you.
From India, Hyderabad
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Do the terms and conditions specify a one-year minimum and one month's notice for exit? Please reproduce the relevant terms of your appointment letter for the perusal of HR experts on the forum. The demand, on the face of it, appears illegal. Did you submit your resignation via email or in a separate written form? Decline to pay three months' notice pay as claimed by them and provide a properly drafted letter by a competent advocate requesting a proper release and full and final settlement.
From India, Pune
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3180Do the terms and conditions specify a one-year minimum and one month's notice for exit? Please reproduce the relevant terms of your appointment letter for the perusal of HR experts on the forum. The demand, on the face of it, appears illegal. Did you submit your resignation via email or in a separate written form? Decline to pay three months' notice pay as claimed by them and provide a properly drafted letter by a competent advocate requesting a proper release and full and final settlement.
From India, Pune
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Yes, she is serving a notice period of 30 days. In the appointment letter, it is mentioned that 1 year is the minimum term of employment. The resignation was sent through email to HR and the manager. As per company policy, the notice period is only 30 days.
From India, Hyderabad
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From India, Hyderabad
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The policy is wrong as the company is indirectly implementing a bond system of one year, which goes against the principles of labor mobility and free choice. Employees need to address this issue through a local lawyer specializing in labor law.
From India, Pune
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From India, Pune
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So I need to check with advocate?? Or can I drop mail to HR as mention this is not policy and you demanding to pay e months salary which is unprofessional.
From India, Hyderabad
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From India, Hyderabad
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You can write a polite letter to the company, but it is always better to consult a local lawyer. Show him the documents and then frame a reply. Ideally, you should have objected when this one-year minimum service clause was seen in the appointment letter. The idea is to secure a clean release and have any demands from the company dropped. A lawyer can advise you better.
From India, Pune
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From India, Pune
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You can simply attach the appointment letter and highlight the line in the soft copy. Then, clearly inform them that, as per the company policy, she has served the required 30 days. Also, convey that their actions are unprofessional. Verbally explain to them that we need to proceed with the LO.
From India, Hyderabad
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From India, Hyderabad
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As informed in one of the responses, you just need to highlight the notice period clause and inform that the employee is presently serving the same. Expect all the necessary formalities to be completed by the expected date of relieving. There is no point in jumping into legal aspects at this stage; just inform them that you would be much obliged if all the required documents, along with the full and final settlement, are completed as you need them to move forward in your career. Even if it ends up in court (God forbid), you need to show that you have tried to solve the issue amicably without rushing to court or, for that matter, the labor court. Be practical and have patience. Send a letter or two, including the second one as a polite reminder, before you explore other possibilities.
From India, Hyderabad
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From India, Hyderabad
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Legal Advice for Employment Term Dispute
Advice is to get a letter drafted by an advocate and not to send a legal notice. When a lawyer drafts the letter, they will cover all legal angles and it will serve as the basis for subsequent legal actions (hopefully, it should be sorted out). Legal proceedings are always a last resort as the law is too slow to assist ordinary petitioners, and by the time relief is granted, it will have no practical utility as such. Fundamentally, the company has a bond policy disguised as a one-year minimum period, which will not be accepted by courts.
From India, Pune
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Advice is to get a letter drafted by an advocate and not to send a legal notice. When a lawyer drafts the letter, they will cover all legal angles and it will serve as the basis for subsequent legal actions (hopefully, it should be sorted out). Legal proceedings are always a last resort as the law is too slow to assist ordinary petitioners, and by the time relief is granted, it will have no practical utility as such. Fundamentally, the company has a bond policy disguised as a one-year minimum period, which will not be accepted by courts.
From India, Pune
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Withdrawl of Resignation and Notice period.doc
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