What are my legal rights if my previous employer does not pay my full & final settlement after I leave the job?

Hi Team,

I was an employee of a BPO in Mumbai, a private limited company from the UK. I served there as a customer service advisor for 3 years and 3 months. During my employment, I never defaulted on anything or engaged in malpractices. Despite coming from a poor family, I aimed to work in the BPO to earn enough money to pursue further education. I began saving for my higher education.

Upon preparing to leave, I reviewed the company's exit policy, which did not mention non-payment for not serving the notice period.

Their terms and conditions were as follows:

1) I had to serve a mandatory 60-day notice period to receive an experience letter and relieving letter.
2) Failure to serve the notice period would result in not receiving the experience letter and relieving letter.
3) There was no option to buy out or compensate the notice period with remaining holidays; it was notice period or none.

I distinctly recall reviewing the exit policy document at least four times before submitting my exit request on the intranet portal.

It has been over 60 days, and they are withholding my dues, claiming that all remaining dues were spent/adjusted in recovery.

Regarding recovery, my offer letter stated that if I left the company within one year of employment, they would not pay me anything to recover the training costs, and I might have to reimburse the recovery amount.

Since I have served over 3 years, I believe this policy does not apply to me.

Therefore, I seek clarification on my legal rights in this matter.

Can I file a complaint somewhere? Is there assistance available to me?

I am pursuing this because I require the funds. Apologies for my desperation.

Thanks in advance! Cheers!

Dear Harmesh,

You have written a long post, but you have not mentioned one important thing - whether you completed your notice period as per the terms stated in your appointment letter. Please confirm the date on which you submitted your resignation and what your last working day was. Did you obtain proper clearance before leaving your position? Has HR issued a no-due certificate to you?

Thanks,
Dinesh Divekar

Hi Dinesh, sorry for the mistake.

I have not served a 60-day notice period, as the industry I was going to does not relate to BPO, and my 3 years of experience do not contribute at all.

I've received my salary slips and appraisal letters. My date of resignation and last date of working are the same.

I've given an 'On The Spot' resignation as I got a new job in the new field I wanted to pursue.

During my exit interview, I specifically asked whether I'll receive my full and final settlement and when. The HR said the accounts team would handle it, and I'll receive the adjusted amount after 45 days.

I've attached the conversation in which my manager (who is very helpful and supportive) has communicated with me.

Please guide me on what legal rights I have in this case, as the company has been defaulting in many parameters (health & safety, employee working hours violations, etc.).

Hi,

Your answer is given in your attachment itself. Since you have completely ignored the company's existing policy and left the organization without serving the notice period, they have considered you as an "Absconding" case (mentioned in your attached doc).

Generally, in notice shortfall cases, employees have to pay the gross salary for the shortfall days. I suggest you talk with the HR and Accounts Team and explain your reason why you could not serve the NP. They may take approval from Management and release you.

I do not think that if you go to the labor court, they will consider your case because you have not followed the company policy.

Thanks,
Arvind

Dear Harmesh,

As you mentioned in your post, you did not serve the required 60-day NOTICE period, yet you are seeking clearance. Please calculate and verify whether, even after deducting the gross salary for 60 days from your Full and Final (F&F) settlement, there is any outstanding amount to be paid to you. If there is, then it would be advisable for you to proceed with your request. However, if the answer is NO and you still wish to settle your dues in order to obtain your Experience Certificate, the company will gladly accept your offer for repayment.

Kind regards,
[Your Name]

Hi,

This is a clear "Absconding" case, where if an employee fails to serve his/her notice period as per the organization's policy, the company cannot release the F&F, and that amount goes towards recovering the loss. I think before raising this question on such a platform, employees should always check each and every policy of their organization. I usually see the same case where, firstly, employees always look for their next benefit (which is usual), but then they want immediate relieving, all the exit documents, and Full & Final settlement.

If the company follows its exit policy (as anyone has to follow the exit policy), employees will directly think of going legal and such.

Hope this matter is clear now.

Regards,
Priyanka Vinda

Dear Concern,

As per the information provided, the following are the terms and conditions:
1) I am required to serve a mandatory 60-day notice period in order to receive an experience letter and relieving letter.
2) Failure to serve the notice period will result in not receiving the experience letter and relieving letter.
3) There is no option to buy out of the notice period or offset it with remaining holidays; it is either serving the notice period or not.

It is explicitly stated that there is no notice buyout policy in your organization, making the notice period mandatory. As you have resigned without serving the notice period, the company has adjusted/settled the salary amount accordingly.

If you feel that you should send 2-3 official emails to HR, and if they do not resolve your issue, then you should take the case to the lower court.