Hi, Our company initiated a Notice period in June, providing employees with a 90-day notice period along with a designated Severance Package. During the announcement by the Managing Director, it was mentioned that employees seeking early release would be allowed, considering the potential impact on their career.
However, a month later, when some employees requested early release within 2-3 weeks on a case-by-case basis, they received an email quoting a reference from the offer letter regarding a Buyout Clause, stating that the employee needs to pay the company.
In today's world where dishonesty is prevalent, and words seem to hold less value, it raises concerns. Firstly, is the company allowed to implement such a clause after not mentioning it initially during the Notice period initiated by the company? Can they alter the terms midway through the process?
What recourse is available to employees against such actions by the employer?
From India, Mumbai
However, a month later, when some employees requested early release within 2-3 weeks on a case-by-case basis, they received an email quoting a reference from the offer letter regarding a Buyout Clause, stating that the employee needs to pay the company.
In today's world where dishonesty is prevalent, and words seem to hold less value, it raises concerns. Firstly, is the company allowed to implement such a clause after not mentioning it initially during the Notice period initiated by the company? Can they alter the terms midway through the process?
What recourse is available to employees against such actions by the employer?
From India, Mumbai
Such cases are at their peak these days, where even learned corporates display a lack of empathy and cooperation, resorting to extreme measures. Here, you need to focus on the factors within your control.
Practical advice:
1. Termination or lay-off is illegal during the lockdown period. Please speak or write to your local labor union, citing the details of the case; action may be taken as a result.
2. If you have accepted a severance package via email, letter, or HR portal, you are bound to oblige. Corporates often create a 'make-or-bend' situation and will go to any extent to achieve their goals.
3. Corporates have the right to alter any clause in your offer letter. This detail is commonly overlooked by employees but always present. In your case, they might do so to recover money from employees.
Action: Serve your notice period, avail of the severance pay package, and ensure all your dues are processed in your Full and Final settlement. Request a relieving letter promptly, and actively search for a new job. Pursuing legal action is not recommended due to its cumbersome, costly, and lengthy nature unless you have the time and financial resources to fight your case in court.
Don't worry; losing a job is not the end of the world. Stay hopeful for better times ahead.
From India, Delhi
Practical advice:
1. Termination or lay-off is illegal during the lockdown period. Please speak or write to your local labor union, citing the details of the case; action may be taken as a result.
2. If you have accepted a severance package via email, letter, or HR portal, you are bound to oblige. Corporates often create a 'make-or-bend' situation and will go to any extent to achieve their goals.
3. Corporates have the right to alter any clause in your offer letter. This detail is commonly overlooked by employees but always present. In your case, they might do so to recover money from employees.
Action: Serve your notice period, avail of the severance pay package, and ensure all your dues are processed in your Full and Final settlement. Request a relieving letter promptly, and actively search for a new job. Pursuing legal action is not recommended due to its cumbersome, costly, and lengthy nature unless you have the time and financial resources to fight your case in court.
Don't worry; losing a job is not the end of the world. Stay hopeful for better times ahead.
From India, Delhi
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