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shijit
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Dear Seniors,

I have a query regarding notice period recovery from the employee. If the employee does not provide the complete notice period, should the recovery be based on gross salary or basic salary? Is there any legal reference to this point, or is it entirely at the discretion of the employer? Please help me with this.

Regards,
Shijit.

From India, Kochi
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Hi, Its complete depends on employer, but when you issued appointment letter what clause mentioned for notice period recovery, if not mentioned general recover amount is 1 month salary.
From India, Mumbai
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There is no legal reference to it, But Usually the recovery happens on gross salary
From India, Mumbai
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Hi, There is no legal reference to this. It can be basic or gross based on the agreement. Regards, S.Aravind
From India, Madras
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Dear Shijit,

Fixing the notice period is at the whole discretion of the employer. It is not mentioned in any law; however, it should be realistic or mutually consented to by both parties.

Recovery of the notice period is against the whole discretion of the employer, whether based on basic or gross salary. Nevertheless, the same needs to be specified in the employment terms and conditions (appointment letter). It is like an agreement between two parties.

From India, Mumbai
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it is simple to understand that if there is any agreement is made or any clause is clearly written on Appointment letter. Notice period will be paid accordingly. regards TEJPAL NEGI
From India, Ghaziabad
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Salary means the basic salary + other allowances getting in monthly salary. So recovery of notice period salary also will be the same, but not basic alone.
From India, Hyderabad
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Notice period recovery or payment is as per the agreed contract or appointment conditions. It is normally the same for both employees and employers.

In my experience with various reputed engineering companies in India, the Notice Period payment is based on the basic salary.

Pon

From India, Lucknow
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As per my opinion, salary means Basic plus DA, rest are allowances. Normally, the notice period is mentioned in the appointment letter for one, two, or three months' salary in lieu of the notice period.

Regards,

Rakesh Dubey

From India, Raipur
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