Suggestion required (software engineer) 01 September 2011

Notice period buy out query

Hi All,

I currently work in an mnc company, when i joined the company i.e in Appointment letter the clause regarding resignation is as below

"Your services are terminable with one month's notice on either side. The Company may at its discretion, choose to terminate your services with one month's Basic salaryin lieu of notice period"

it also has a clause stating

"You will be governed by the service conditions applicable to employees of the company as ammended from time to time and you will abide by the same as well as by the terms of agreement between yourself and the company and also as per the undertaking on confidentiality and non-competition"

5 months ago they increased the notice period to 3months this was mentioned in the appraisal salary restructuring letter. this was not signed by us but ( as per company downloading the restructuring letter from companies internal site acted as acknoledgement of it ).

and also as per new policy notice period buy out is not there and employee has to serve the entire notice period. ( this is not yet updated in employee manual i got to know of it from an HR )

Now my questions are

1) does downloading the document serve as an acknoledgement of the terms mentioned. I am getting the restructure salary from 5 months

2) can i still claim for my notice period buy out on basis of appointment letter clause and existing employee manual , does the appointment letter clause still hold good on the buyout aspect

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4 Replies

Kumar Doab (FIN) 01 September 2011

1. No

2. Yes

You have accepted the salary as per the appraisal. You can submit a gentle written communication stating that you do not accept the increase in notice period, or you can contest the decision after you have left the company.

In the first option it is almost certain that you shall have to face sessions with your managers and HR.

You can choose wisely as per the prevailing circumstances.

1 Like

V. VASUDEVAN (LEGAL COUNSEL) 01 September 2011

Service Conditions being part of the employment contract, has to be accepted in express time. Therefore, every time a condition is sought to be amended by the employer, it can't be unilateral and the employees (collectively, in case they have a formal representative association/union or inidivudially)written consent is essential. Hence a company cannot claim that on clicking the net it is an acceptance.

Vasudevan

RAJIV BHASIN (ADVOCATE) (Bhasin Legal Consultants(SOLICITORS & ADVOCATES) bhasin.laws@yahoo.com 9811210505) 02 September 2011

DEAR,

IN AGREEMENT/CONTRACT THE ACCEPTANCE OF BOTH THE PARTIES ARE REQUIRED. COMPANY CANNOT ENHANCE THE NOTICE PERIOD UNILATERALLY EVENTHOUGH YOU HAVE DOWNLOADED THE CONTRACT AND ACCEPTED THE SALARY DOES NOT MEANT YOU GAVE EXPLICIT ACCEPTANCE TO THE ENHANCEMENT OF NOTICE PERIOD. AT THE TIME OF RESIGNATION YOU CAN RAKE THIS ISSUE THAT YOU HAVE NOT ACCEPTED IT.

EIHTER SEND YOUR SIMPLE PROTEST IN SOFT WORDS OR RAKE THIS ISSUE LATER.

REGARDS

RAJIV BHASIN

9811210505, 9868635640

1 Like

Suggestion required (software engineer) 05 September 2011

Hi rajiv,

thanks for the above post. but

while putting my resignation i have mentioned as per company policy i will be serving 3 months.

I also sent them a mail recently requesting them to relieve me by taking notice period buyout

Then i got a reply from the HR saying that notice period buyout option is not available

I am not into any project now and yet they are trying to retain me.