I am working in a Pvt Ltd Company located in Ahmedabad, Gujarat, which is dealing in the manufacturing of Engineering Goods (Pumps). Due to the recession, the company wants to terminate 10% of employees (10 employees in numbers) without any notice or notice pay. However, it is written in the appointment letter that "termination of employment is done by either side by giving 1 month's notice or its equivalent pay in lieu of notice." The company is forcing us to sign a resignation letter and also a Non-Disclosure Agreement. The Non-Disclosure Agreement includes the statement that we cannot join any competitor organization until 3 years after the date of leaving the company. Should we sign the resignation letter and the non-disclosure policy in this case? According to the MD of the company, if we join any competitor company, they will file a case for exchanging the company's important data with the competitor, but we do not have any important details of the company with us. Is there any remedy for this? Please let us know what we can do in such a situation.

What are our rights in this situation?

From India, Ahmedabad
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They can't fire without notice and without any justification. At least they should honor the appointment letter and provide retrenchment compensation. If you are a workman (as per the ID Act), you can seek remedy in the labor court, and if you are staff, you can pursue it in the civil court.

Regards,

From India, Pune
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You can refuse to resign; let them sack you. I am sure you can report it to the appropriate authorities in your area.
From United Kingdom
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Thanks to all of you for your replies. However, what about the Non-Disclosure Policy? Is there any other way to resolve it without going to court? It often takes years to reach a conclusion through the court system. In the event that we take this matter to court, what additional evidence would be required?
From India, Ahmedabad
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