Anonymous
Hi, I work with IT company and have Notice period of 90 days.

I have resigned from the company on 12-May-2024 and requested to be relived by 28-June-2024.

I have communicated my joining date to my new employer as 01-July-2024 based on the buy-out option and early release option in our company policy.

I informed my manager about my resignation and early release well in advance, and he asked me to wait until he gets approval from our HR on the same. Yesterday HR told me that she is not approving early release due to dependencies on me and asked me to communicate to my new employer that i cannot join on 01-July 2024.

However, my new employer is willing to buy out my 2 months notice and cannot wait.

I understand that it was my mistake to communicate the joining date before approval from my HR, but also I do not want to loose out the new opportunity.

I also tried to buy out which they said they have no option of buyout as per company policies but it is written in my appointment/offer letter that i can buy. I have attached the sentence below.
Please guide me what should i do in this case.

"This appointment is terminable immediately if incase the company wishes to terminate the
employee perhaps in case the employee wishes to leave the services of the company during the
probation period with serving a notice of two months. Probation period will run for 6 months from
the date of joining. Confirmation will be deemed automatic, after completion of the probation. On
confirmation of services, the appointment is terminable, by either side, with or without assigning
any reason, by giving three months’ notice or in lien of full gross salary.
"

From India, Delhi
nanu1953
337

Write a mail to HR citing the clause of your appointment letter. If your new employer has no objection to allow you join without release letter from your existing organization, then left the organization after buying out 2 months notice period - one way traffic.

S K Bandyopadhyay ( WB, Howrah )
CEO-USD HR Solutions
+91 98310 81531
skb@usdhrs.in

From India, New Delhi
Madhu.T.K
4248

There are two issue with the appointment order/ clause relating to termination of contract in the appointment order. First, you cannot have different conditions for employer and employee. Therefore, the termination clause during probation is voidable one. Second, when you have a condition that contract of employment can be terminated with our without assigning any reason by giving 90 days notice or payment of gross salary in lieu of notice, the employee should not be compelled to work for 90 days post resignation. Therefore, you should get an opportunity of getting relieved by paying notice pay. When the new company is ready to bear the notice period cost, you will not be losing anything. But when the final call is to be taken by the present company, you will have to convince them and accept the buyout.

If you do not have reportees under you, and you do not hold a managerial position, then it is more easy to get relieved even without paying any notice pay because an employee who does not have managerial powers of supervision and approvals is a workman irrespective of his salary. It is to be noted that a workman coming under the purview of Industrial Disputes Act has NO obligation to give notice if he wants to leave the company whereas an employer is under an obligation to give notice if he wants to terminate a worker. No contract would override this law. Therefore, even if the employee has signed a contract which provides for a condition that notice is required to be given to leave the company, that will not be maintainable before the law.

But if the employee has managerial responsibilities of approving leaves of the subordinate employee(s), appraising their performance or initiating disciplinary action against the subordinates etc, then the contract signed will be binding on both of them, and as such if the notice period is 90 days, that should be followed. In such scenario you will have to amicably settle the matter, and how it is settled will depend on you and the key management persons of the company only.

From India, Kannur
Agarwal BD
6

My advise would be to back all your discussions regarding release with the current management / HR with written communication (email) and keep your future employer regularly updated.

If your current employer is having a genuine problem in releasing you and your future employer is willing to wait for some time for you to join, the ideal situation should be not to spoil relationships. But if your current employer is being difficult, as per your terms of appointment, you are not bound to serve the entire notice period. If you are transparent in your dealing your future will also understand your position and may not insist on release letter from your current employer.

From India, Kolkata
rammi24
36

I have read the termination clause posted by you, it is clear that either party i.e. employer or employee has right to terminate the appointment by serving three month notice period or in lieu of gross salary. You may communicate your employer stating the appointment clause there is no mandatory to serve notice period as you would like to pay off the notice period amount, legally it is correct. Further if employer not supporting in relieving, you may send a notice to employer from advocate, that employer way in relieving employee may be challenged in the court of law. For any further clarification please connect me on 9959829422.
From India, Telangana
kannanmv
257

With due regards to members who have offered their views, I wish to state my opinion.

The first and foremost thing is while joining a Company, many seem to accept the terms and conditions stipulated in the offer of employment.

In your case your previous organisation has sought for 90 days notice period or by paying full Gross Salary and you knew this when you attended an interview with your prospective employer. But, you chose to ignore the notice period clause of your previous employer and accepted to join your new organisation disregarding the notice period you were required to serve the previous organisation.

Though, legally you can state that you can pay up the notice pay and get relieved, a question then arises on the sanctity of the 90 days notice period clause.

One fine day every employee will just pay the 3 months notice pay and quit the organisation on the same day. As a HR professional how can we deal with this.

Any exit from an organisation should be mutual and reciprocal. Imagine a situation wherein you put your prospective employer in the same state of affairs by deciding to quit without serving the notice period. You will not get proper relieving certificate from organisations you have worked.

Many Companies do Background Verification Checks too and if you do not have a proper relieving letter, then it could be an issue in the long run.

Quitting an organisation without a proper experience/ relieving letter will be detrimental to your professional career.

Regards

MVK

From India, Madras
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