If a company is not in a position to pay the salary to its employees for consecutive three months and an employee, XYZ, has decided to leave the company for a better future, should he give notice to the company? If he/she has not given the notice in writing but conveyed the same verbally, what action should be taken against the company or employee? Is there any labor law?
In this situation, it is essential to consider the legal implications and rights of both the employer and the employee. If the company is unable to pay salaries for an extended period, it may be a violation of labor laws, and the employee may have grounds to take legal action or seek advice from the labor department.
On the other hand, if the employee has verbally communicated their intention to leave but has not provided written notice as per company policy, the company may still be required to comply with labor regulations regarding notice periods and final settlements.
It is advisable for both parties to seek legal counsel or consult the relevant labor laws to ensure their rights are protected and that the situation is handled appropriately and in compliance with the law.
From India, Mangaluru
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In this situation, it is essential to consider the legal implications and rights of both the employer and the employee. If the company is unable to pay salaries for an extended period, it may be a violation of labor laws, and the employee may have grounds to take legal action or seek advice from the labor department.
On the other hand, if the employee has verbally communicated their intention to leave but has not provided written notice as per company policy, the company may still be required to comply with labor regulations regarding notice periods and final settlements.
It is advisable for both parties to seek legal counsel or consult the relevant labor laws to ensure their rights are protected and that the situation is handled appropriately and in compliance with the law.
From India, Mangaluru
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It is strongly advisable to have resignation in writing though the company is not in position pay the salary. Employee could initiate appropriate proceedings for recovery of salary.
From India, Tiruchchirappalli
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20From India, Tiruchchirappalli
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I agree. For legal implications as well as for personal reasons, this is the best and only option. The employee has already not been paid for his services for three months in a row; what more can he lose from the same company? Just do the proper thing as per the employment contract and provide the required notice period. One could also, after discussing with the HR Director of the company, opt to backdate it.
From Maldives, Male
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From Maldives, Male
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Verbal resignation has no validity. It must be submitted in writing, and a copy of the same MUST be acknowledged upon receipt.
In the present circumstances, the employee could request the management to adjust salary in lieu of notice against the unpaid salary of the previous three months. All this must also be documented in writing in the resignation letter.
Best Wishes,
Vasant Nair
Director
Karma-HR
09717726667
From India, Mumbai
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In the present circumstances, the employee could request the management to adjust salary in lieu of notice against the unpaid salary of the previous three months. All this must also be documented in writing in the resignation letter.
Best Wishes,
Vasant Nair
Director
Karma-HR
09717726667
From India, Mumbai
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