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Q. Notice period payment

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posted 1 month ago

question iconNotice period payment

I was on sick leave for two months at the end of which I tendered my resignation. The ideal notice period is 3 months. My manager asked me for a preferred date which I put as one month notice but specified that I could extend it as required.
In a few days when I came to know that I would have to pay if I don't serve, I requested then to let me serve the entire notice period. First they said it's too late and secondly they said it cannot be done since the company doesn't have any work. Now they are forcing me to pay for the two months even though I have specified that I will be willing to serve.

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Arjun Kshetri

Arjun Kshetri

Responded 1 month ago

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A.Generally, companies have a clause of notice period wherein employee must work for the notice period and Full and Final settlement is made after notice period is served.

Case-1 (Notice period clause present)
If your company has notice period clause in employment agreement (on stamp paper) or appointment letter, and you left immediately after resignation, then they can deduct the notice period pay.

Case-2 (Notice Period Clause not present)
If there is no such notice period clause, then by law employer cannot deduct any pay from you and your last working day shall be considered as date of leaving for purpose of paying full and final.

The constitution of India provides the fundamental right to every person to choose the profession of his choice and any agreement contrary to this is invalid. By putting the clause in service regulation that it is company’s discretion to accept the notice or not is against the provisions of constitution of India. Hence company cannot threaten you by showing this clause. The Company cannot force you to serve the entire notice period.

I want to clarify that Bond period is a different concept which is different from Notice period. Bond period makes you bound to work for certain time (usually 1 year). Bond period is illegal but notice period is legal if agreed under employment letter/ agreement etc.

Hope it clarifies. I can suggest more only by reading the documents.
You may approach me through Vidhikarya for further clarifications.

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