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One of our employee was working for the last 10 months. She put her papers 2 weeks back. Her offer letter reads she has to serve minimum 1 year with us. Also the letter and company policy states she needs to serve 2 months notice period.

Today, she did not inform anything and left all the whatsapp groups and did not come to the office..she sent a message on whatsapp to our HR that she will not be continuing.

She being in client servicing has caused us immense damage of our reputation and dent in works as it was sudden and adhoc.
We may lose one of our monthly retention client due to this behaviour of hers.

Also, as mitigation, we are hush hush hiring from a staffing agency and have to pay them 8.33% (one month salary) due to desperate hire.

What action can I take on her for:
1. Financial losses of losing a client.
2. Financial loss incurred for paying staffing agency as desperate hire because she went absconding
3. Reputation loss in front of the clients that she was handling and suddenly absconded.
4. Serving 2 weeks of notice instead of 2 months as mentioned in offer letter.

I was planning to send a legal notice claiming the monetary losses that we have faced due to the above reasons and ask her to pay.

The reason is that if we letgo without claiming the losses, everyone else takes things for granted and sets the wrong tone at work place.

Please advice.

From India, Hyderabad
Hi Dhiraj,

It's important to consult with a legal professional to get advice tailored to your specific situation and jurisdiction.

Review Employment Contract:
Start by reviewing the employment contract and company policies to ensure that you have a clear understanding of the terms and conditions regarding notice periods, consequences of breaching the contract, and any clauses related to financial liabilities.

Consult Legal Counsel:
Given the complexity of the situation, it's advisable to consult with a lawyer, well versed in Labour laws and employment terms, who can provide guidance based on the specific employment laws in your jurisdiction. They can help you assess the strength of your case and advise on the best course of action.

Document the Damages:
Document the financial losses incurred as a result of her abrupt departure. This may include the costs associated with hiring a staffing agency, potential loss of clients, and any other quantifiable damages.

Communicate with the Former Employee:
Before sending a legal notice, consider communicating with the former employee to discuss the situation and attempt to reach a resolution. This may involve a formal meeting or written communication where you outline the specific damages and request compensation.

Legal Notice:
If communication does not yield a satisfactory resolution, you may choose to send a legal notice outlining the damages incurred and the intention to seek compensation. Ensure that the notice is drafted by a legal professional to maximize its effectiveness.

Small Cause Court or Legal Action:
Depending on the amount of damages, you may consider pursuing legal action through small claims court or other appropriate legal avenues. Again, legal advice is crucial in determining the most appropriate course of action.

Internal Policies:
Review and update your internal policies to address situations like this in the future. This may involve strengthening contractual clauses, implementing stricter exit procedures, or considering alternative measures to mitigate potential damages.

To be specific, legal proceedings can be time-consuming and costly, so it's important to weigh the potential benefits against the risks. Consult with a legal professional to ensure that any actions you take are in compliance with applicable laws and regulations.

Thanks,

From India, Bangalore
Hi,

The failure on the part of the employee to serve proper 2 months notice period is wrong. However in the absence of any Agreement or Bond which is signed and agreed by both Parties with proper justification for one year compulsory service requirement, legal claim cannot be made just based on offer letter terms. Also it is very strange to note that you are referring to financial loss to the company where as her stint with your Company is just for 10 months. Even if she was handling such a crucial role there should be some one handling similar responsibility as a back up ? Employer has every right to initiate disciplinary action and demand legal claim for loss occurred but this being a civil suit it would be time consuming process and the results may not be fruitful. Nowadays all employers are facing this issue of employee leaving without notice.

From India, Madras
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