I joined a big Indian company almost 1 year back. I received half a month's salary. Then after a few days, I resigned from that company as I was getting a great opportunity. After 10 days, got approval from the manager. Before I was considering it as early relief from the manager but at the time of submitting all the assets, I was told that notice pay recovery for 20 days will be there. I got a mail from the company for a recovery amount of around 30K (GST included) almost after 1 month. I didn't reply.
Then got a reminder on the same thread a couple of months afterward. But now after 1 year, I got a hard-letter from them, demanding a full recovery amount plus 18% interest for a year. Wanted to ask, is it legal to ask for recovery money if I just spent only 1 month in the company (including notice days)? If it's legal, do I need to pay the GST plus interest as well?
From India, Mumbai
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Then got a reminder on the same thread a couple of months afterward. But now after 1 year, I got a hard-letter from them, demanding a full recovery amount plus 18% interest for a year. Wanted to ask, is it legal to ask for recovery money if I just spent only 1 month in the company (including notice days)? If it's legal, do I need to pay the GST plus interest as well?
From India, Mumbai
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Please check your offer of appointment for the notice period during the probationary period. If you have accepted the offer or any other document (like a service bond) containing such a term, then you are legally bound to pay the salary for the remaining notice period. Regarding interest, payment of interest follows when there is a delay in remitting the due amount.
It is unlikely that the company will pursue litigation against you to recover the amount as the cost of litigation would be higher. You can offer to pay 20 days' salary to settle the matter. It seems that you were relieved from service without any mention of dues towards the payment of the remaining notice period. This could work in your favor in case of any future litigation.
From India, Mumbai
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1656It is unlikely that the company will pursue litigation against you to recover the amount as the cost of litigation would be higher. You can offer to pay 20 days' salary to settle the matter. It seems that you were relieved from service without any mention of dues towards the payment of the remaining notice period. This could work in your favor in case of any future litigation.
From India, Mumbai
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Dear friend, Just give a try. Why don’t you meet the concerned and try to reach a negotiated settlement? You may gain some advantage. There’s no need to shy away in solving your issues.
From India, Bangalore
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From India, Bangalore
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GST ON RECOVERY OF UNSERVICED NOTICE PERIOD.docx
06b-Form VI-B (Notice of Commencement of Contract Work).pdf