Dear All,
Looking forward for your advice on the following issue:
Our employment agreement has a notice period of one month from either side.
One of our employee submitted his resignation and was relieved before the expiry of the notice period as he had completed his project and no new work was allocated to him. He was willing to serve the full notice period but we did relieved him immediatly as there was no pending work from his end.
The employee is demanding notice pay in leiu of the remaining notice period as he was relived within 10 days.
Is the organisation liable to pay ???
After resignation is accepted , Can't the organisation relieve an employee in advance or late based on the nature of job & responsibilities ?
Thanx in advance.
Rekha
From India, Bangalore
3Looking forward for your advice on the following issue:
Our employment agreement has a notice period of one month from either side.
One of our employee submitted his resignation and was relieved before the expiry of the notice period as he had completed his project and no new work was allocated to him. He was willing to serve the full notice period but we did relieved him immediatly as there was no pending work from his end.
The employee is demanding notice pay in leiu of the remaining notice period as he was relived within 10 days.
Is the organisation liable to pay ???
After resignation is accepted , Can't the organisation relieve an employee in advance or late based on the nature of job & responsibilities ?
Thanx in advance.
Rekha
From India, Bangalore
dear Rekha
This organisation has to pay the notice period. Coz as per the appointment terms if wither party leaves before notice period , notice money has pay be the party breaching the clause. Please refer to your organisation's appointment terms.
In this case as organisation is releiving despite employee's interest to serve the notice period, organisation has to pay the notice period. The appointment terms were established by the organisation itself. If employee leaves without serving notice, organisations always asks the employee to pay notice period.
regards
From India, Chandigarh
This organisation has to pay the notice period. Coz as per the appointment terms if wither party leaves before notice period , notice money has pay be the party breaching the clause. Please refer to your organisation's appointment terms.
In this case as organisation is releiving despite employee's interest to serve the notice period, organisation has to pay the notice period. The appointment terms were established by the organisation itself. If employee leaves without serving notice, organisations always asks the employee to pay notice period.
regards
From India, Chandigarh
Dear Rekha,
No, the Company is not liable to pay any notice pay. The one month notice period is applicable as follows:
1) If the Company terminates an employee then it must give either 1 months Notice or Payment in lieu of Notice.
2) If the employee resigns he must either gives one months notice or payment in lieu of notice.
In this case since the employee has resigned on his own, hence the Company can release him earlier than the Notice Period. The payment for short notice by the Company is applicable only in case of termination.
In the end, I would like to add that I hope he has resigned on his own and was not forced to resign by the Company??
Regards,
SC
From India, Thane
No, the Company is not liable to pay any notice pay. The one month notice period is applicable as follows:
1) If the Company terminates an employee then it must give either 1 months Notice or Payment in lieu of Notice.
2) If the employee resigns he must either gives one months notice or payment in lieu of notice.
In this case since the employee has resigned on his own, hence the Company can release him earlier than the Notice Period. The payment for short notice by the Company is applicable only in case of termination.
In the end, I would like to add that I hope he has resigned on his own and was not forced to resign by the Company??
Regards,
SC
From India, Thane
Dear Rekha,
I am not agreed with SC, Firstly, I want know the matter of his resignation in order to suggest something, what actually he wrote in his resignation. Presently as you told that employee is willing to complete the notice period period, in that case company traps in his own clauses. company has to pay the notice pay.
Faisal
From Pakistan, Karachi
I am not agreed with SC, Firstly, I want know the matter of his resignation in order to suggest something, what actually he wrote in his resignation. Presently as you told that employee is willing to complete the notice period period, in that case company traps in his own clauses. company has to pay the notice pay.
Faisal
From Pakistan, Karachi
Hi,
In case if the employee has tendered his resignation giving one months notice and the compnay has relieved him earlier then the company is liable to pay him the notice period salary. But if the employee has submitted his resignation without mentioning the notice period( i.e the employee has resigned with immediate effect) and the company has accepted the resignation as per the resignation letter date then the compnay can relieve the employee immediately without paying him the notice period compensation.
Either party has to state the period before resiging and terminating the service. It has to be mentioned in the resignation letter/termination letter the period from which the resgnation will come into effect.
S.K
From India, Jaipur
In case if the employee has tendered his resignation giving one months notice and the compnay has relieved him earlier then the company is liable to pay him the notice period salary. But if the employee has submitted his resignation without mentioning the notice period( i.e the employee has resigned with immediate effect) and the company has accepted the resignation as per the resignation letter date then the compnay can relieve the employee immediately without paying him the notice period compensation.
Either party has to state the period before resiging and terminating the service. It has to be mentioned in the resignation letter/termination letter the period from which the resgnation will come into effect.
S.K
From India, Jaipur
Rekhaa....there are only two ways to end the employment contract and thereby relation betwen employer and employee...Termination and Resignation. If someone resigns...he is expected to serve the notice and if someone is terminated then employer is expected to serve the notice. If they are not willing to serve the notice...they are expected to pay in lieu of notice period.
In employment....there is nothing called ....willingness to complete the notice period.
And some other member has specified...resignation is resignation....doesn't matter what is written in that.
So, company is not liable to pay...any amount towards the notice period. Because, it is a case of resignation and not termination.
Regards
Sanjeev Sharma
From India, Mumbai
In employment....there is nothing called ....willingness to complete the notice period.
And some other member has specified...resignation is resignation....doesn't matter what is written in that.
So, company is not liable to pay...any amount towards the notice period. Because, it is a case of resignation and not termination.
Regards
Sanjeev Sharma
From India, Mumbai
Hi Friends,
Thanx for the responses.
Yes the resignation was own his own will. Its only that the employee did not have any task to complete, and wot will he do till the date of expiry of notice period ?
Why should the organisation pay for an idle employee for the sake of completion of notice period when has has tendered his resignation.
We all know"Idle Mind is Devil's Workshop" especially when he has put in his resignation.
From the responses i get a mixed opinion.
Can anybody tell me how does weigh in the eyes of law ?
Regards,
Rekha
From India, Bangalore
Thanx for the responses.
Yes the resignation was own his own will. Its only that the employee did not have any task to complete, and wot will he do till the date of expiry of notice period ?
Why should the organisation pay for an idle employee for the sake of completion of notice period when has has tendered his resignation.
We all know"Idle Mind is Devil's Workshop" especially when he has put in his resignation.
From the responses i get a mixed opinion.
Can anybody tell me how does weigh in the eyes of law ?
Regards,
Rekha
From India, Bangalore