I received an offer letter for a new position with a new employer. I handed in my resignation to my previous employer and served out my notice period.
After my last day at my previous company, the new company informed me that they needed to postpone my onboarding for a week due to the Coronavirus lockdown. The lockdown was extended beyond that week, so I requested a virtual onboarding; however, that did not occur. It's been months, and yet they have not provided a Date of Joining. When questioned, they replied saying that they can't give a specific joining date and I will have to wait - but nobody knows how long the wait will be.
Can I proceed legally against the employer after I get another job?
Is the company liable for compensation as per the LAW?
Note: I have accepted the offer letter with the Date of Joining mentioned in it.
From India, Gulbarga
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After my last day at my previous company, the new company informed me that they needed to postpone my onboarding for a week due to the Coronavirus lockdown. The lockdown was extended beyond that week, so I requested a virtual onboarding; however, that did not occur. It's been months, and yet they have not provided a Date of Joining. When questioned, they replied saying that they can't give a specific joining date and I will have to wait - but nobody knows how long the wait will be.
Can I proceed legally against the employer after I get another job?
Is the company liable for compensation as per the LAW?
Note: I have accepted the offer letter with the Date of Joining mentioned in it.
From India, Gulbarga
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Dear friend,
I understand your predicament. You have given up your old job, but the new one did not come. When one is neither here nor there, it is really frustrating.
Notwithstanding the frustration, the verbatim of the offer letter needs to be understood. Has anything been mentioned on revocation of the offer letter? What are the liabilities of the employer for delaying the offer?
Under the provisions of the Indian Contract Act, 1872, an "Appointment Letter" becomes a contract, but an "Offer Letter" may or may not be. This is because of the clarity that is established in the former but may not be in the latter.
Anyway, without waiting for the same opportunity any longer, you may start looking for a fresh opportunity. The delay in taking you on board signifies the poor financial condition of that company. Therefore, it may not make much sense to join such a company.
Thanks,
Dinesh Divekar
From India, Bangalore
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8029I understand your predicament. You have given up your old job, but the new one did not come. When one is neither here nor there, it is really frustrating.
Notwithstanding the frustration, the verbatim of the offer letter needs to be understood. Has anything been mentioned on revocation of the offer letter? What are the liabilities of the employer for delaying the offer?
Under the provisions of the Indian Contract Act, 1872, an "Appointment Letter" becomes a contract, but an "Offer Letter" may or may not be. This is because of the clarity that is established in the former but may not be in the latter.
Anyway, without waiting for the same opportunity any longer, you may start looking for a fresh opportunity. The delay in taking you on board signifies the poor financial condition of that company. Therefore, it may not make much sense to join such a company.
Thanks,
Dinesh Divekar
From India, Bangalore
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Your predicament is understandable: you neither have the old job nor the new one. As rightly pointed out by Dinesh Sir, you need to bide your time and sincerely wish and pray for the lockdown to end.
Regarding your chances in any litigation on the matter, there is a legal principle called "Force Majeure," meaning an act of God or circumstances beyond the control of the party. You would also agree that the new employer is not responsible for the COVID-19 pandemic, and the situation is beyond anyone's control. Assuming your acceptance of the offer of appointment as a binding contract, the aforementioned legal principle would come to your rescue and could hinder you from obtaining substantial relief from the courts.
From India, Mumbai
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Regarding your chances in any litigation on the matter, there is a legal principle called "Force Majeure," meaning an act of God or circumstances beyond the control of the party. You would also agree that the new employer is not responsible for the COVID-19 pandemic, and the situation is beyond anyone's control. Assuming your acceptance of the offer of appointment as a binding contract, the aforementioned legal principle would come to your rescue and could hinder you from obtaining substantial relief from the courts.
From India, Mumbai
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Hi,
I had a similar problem. My joining was postponed by 3.5 months during Covid. What would be the chances of a verdict in my favor if the following are the COMPLETE wordings in the initial offer letter:
OFFER OF EMPLOYMENT
Congratulations on getting shortlisted for an offer with XXX.
We are pleased to offer you to join * as effective *.
You will be on probation for a period of one year from the date of joining. Upon successful completion of the same, you will be confirmed in the grade of ***. Details of the Compensation Structure are attached herewith in Annexure. The Appointment letter will be issued to you after joining.
You will be required to report on *.
Please confirm to us in writing your acceptance of this offer immediately upon receipt of this letter.
From India, Bengaluru
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I had a similar problem. My joining was postponed by 3.5 months during Covid. What would be the chances of a verdict in my favor if the following are the COMPLETE wordings in the initial offer letter:
OFFER OF EMPLOYMENT
Congratulations on getting shortlisted for an offer with XXX.
We are pleased to offer you to join * as effective *.
You will be on probation for a period of one year from the date of joining. Upon successful completion of the same, you will be confirmed in the grade of ***. Details of the Compensation Structure are attached herewith in Annexure. The Appointment letter will be issued to you after joining.
You will be required to report on *.
Please confirm to us in writing your acceptance of this offer immediately upon receipt of this letter.
From India, Bengaluru
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If you have accepted the terms offered to you, there is a binding contract between the two. The company, having committed to take you into employment from the date mentioned therein, has breached the agreement for which action could lie. But now they have extended the date of joining.
Now, this depends on whether you have tacitly accepted the revised offer or you have rejected it. In case you have rejected it, you can seek compensation. The compensation cannot be the salary for this period but will be an amount minus the required expenses for attending duty, such as transport charges and other expenses.
From India, Mumbai
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Now, this depends on whether you have tacitly accepted the revised offer or you have rejected it. In case you have rejected it, you can seek compensation. The compensation cannot be the salary for this period but will be an amount minus the required expenses for attending duty, such as transport charges and other expenses.
From India, Mumbai
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Dear Connection,
Is it legal to take registration and placement fees (if company payout is denied) from the candidate who is getting selected by HR consultancy reference? If yes or no, please mention the supporting law with reasons. Also, your valuable opinion.
From India,
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Is it legal to take registration and placement fees (if company payout is denied) from the candidate who is getting selected by HR consultancy reference? If yes or no, please mention the supporting law with reasons. Also, your valuable opinion.
From India,
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@KK!HR
This was a past incident during the initiation of Covid. I just got the communication from the HR that they are deferring the joining date due to offices being closed down due to Covid, just less than 2 weeks before the proposed joining date. There was no confirmation that was sought from our end. Later, after 3+ months, they asked us to join. I worked for a while there and I am not currently with them.
In this case, is it possible to litigate and ask for compensation for that delayed period, as it not just affected our income but also led to the loss of a corresponding period of experience. Moreover, the last-minute communication also didn't give us a chance to look out.
From India, Bengaluru
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This was a past incident during the initiation of Covid. I just got the communication from the HR that they are deferring the joining date due to offices being closed down due to Covid, just less than 2 weeks before the proposed joining date. There was no confirmation that was sought from our end. Later, after 3+ months, they asked us to join. I worked for a while there and I am not currently with them.
In this case, is it possible to litigate and ask for compensation for that delayed period, as it not just affected our income but also led to the loss of a corresponding period of experience. Moreover, the last-minute communication also didn't give us a chance to look out.
From India, Bengaluru
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