Employer Terminates Contract After Employee Resignation

Hello All,

It all started when I requested a sabbatical leave to continue my education, but my application was rejected, citing that I needed to serve a minimum of 3 years as per my employer's policy.

Therefore, I submitted my resignation to my employer explicitly stating, "I'm resigning in order to continue my education" in my resignation letter via email, and the company accepted my resignation.

However, instead of a Closure of Employment letter, I have been given a Termination of Employment.

The following are the exact contents of my Termination letter:

"Dear Sir,

Sub: Termination of Employment Contract

This is in reference to our transfer order reference */*/HR/TO/ dated 16th February 2014 for (Company Name)Oman. You were released from UAE on 06th March 2014 and were supposed to report to Oman upon receipt of VISA.

Now, we have received your Email communication dated 15th April 2014, informing that you will not be able to report at (Company Name) Oman. You are hereby advised that your name has been removed from our rolls effective from the close of working hours on 06th March 2014, the last date of your attendance in (Company Name) Abu Dhabi."

I am concerned that the language used in the letter may negatively impact my future employability since it does not mention termination by mutual agreement.

Could you please confirm if such a Termination letter is standard and will not affect my employability?

What are my options if the letter is deemed unacceptable and may impact my future employment?

Regards,

Mukildev

Dear Mukil,

First, let us know whether this case is in Indian employment or international employment.

Here, I can see that they issued you the transfer letter, but you did not report as per the order. In that case, the company can terminate you on the grounds of misbehavior and violation of the company's instructions. The transfer clause is generally included in the appointment letter as a universal safeguard for the company, clearly stating that your service can be transferred anywhere, anytime as per the company's requirements.

Was your appointment letter issued by an Indian establishment or a foreign company (Abu Dhabi)? If it was given by Abu Dhabi, then all labor laws applicable as per the respective country, as all countries have different labor laws.

Hi,

Please do not worry. The tone seems professional. The format used is more like a relieving letter, and it also indicates that you have cleared all your dues and resigned properly. It states that the contract of employment has been terminated and not "U."

Please continue with your studies. All the best!!

Dear Sir,

Thank you for your response.

The company I work for is an Indian company with international presence. The parent company is in India, and its child companies are in different countries. The child companies act independently on their own accord and have their own recruitment/HR policies. If you are hired by the child company directly, the labor law in its operating country prevails. However, I was hired by the parent company in India and was transferred to the child company in Abu Dhabi.

I have signed one main employment contract with the parent company (Indian labor law is applicable to me) and one contract with the child company in Abu Dhabi (due to my transfer from the parent company).

I closed the contract with the company in Abu Dhabi in March and received my full and final settlement from that company in accordance with the law in the UAE.

I was transferred to the child company in Oman, and hence I had to sign an employment contract with the company in Oman. In my new contract in Oman, it clearly states that the date of commencement of the contract begins from the date of joining the company.

I was asked to wait in India until the company in Oman arranged the visa (no salary for the waiting period). During this waiting period, the events which I mentioned in my first post occurred.

Even though I received a transfer order from the parent company, am I not eligible/entitled to resign? The main contract states that employment can be terminated at any time by giving notice. It doesn't mention that I can't terminate the contract while on transfer.

I am particularly unhappy with the word "termination" (fired) being used. The termination letter I received only states that I informed them about not being available, with no mention of resignation.

My concern is that they terminated the contract to minimize any settlement benefits I might have received. Am I wrong?

I am worried that the use of the word "terminated" (fired) may affect my employability. After reading the letter, one might interpret that I was terminated for misbehavior/violating instructions, which is not the case.

I simply do not wish to continue my job at this time and have resigned from the company.

Also, am I wrong to interpret the word "terminated" as being equal to being fired?

Regards,

Mukildev

Dear Madam,

Thank you for your kind words. But don't you think the word "terminated" was a bit harsh? I personally equate the word "terminated" with being fired by the company for wrongful behavior. Am I wrong in interpreting it that way?

Regards,
Mukildev

Dear Mukil,

As you said that you were supposed to work for 3 years, you should be happy that the company has terminated the contract itself and not blamed you for leaving the project in the middle. Had it been the other way around, the company could have asked you to pay for breaking the bond and leaving the project midway. So relax and focus on your studies! Hope it helps!

For your reference:
"Terminate" (DICTIONARY MEANING)
verb
1. bring to an end.
"he was advised to terminate the contract"
synonyms: bring to an end, end, bring to a close/conclusion, close, conclude, finish, stop, put an end to, put a stop to, wind up, discontinue, break off, cease, cut short, bring to an untimely end, abort; More
"the train will terminate at Stratford"
synonyms: end its journey, finish up, stop More
NORTH AMERICAN
end the employment of (someone); dismiss.