The notice period is a period of time that an employee is required to give their employer before they can resign from their job. The notice period is usually specified in the employee’s contract of employment.
In India, the notice period is governed by the Industrial Disputes Act, 1947 (ID Act). Section 25F of the ID Act provides that a workman who has been in continuous service for at least one year under an employer shall not be retrenched by that employer until, such workman has been issued a one month’s prior notice in writing indicating the reasons of retrenchment and the period of notice has expired, or the workman has been paid wages in lieu of the notice.
Summary Of The Supreme Court’s Judgments On Employee Notice Period:
| Judgment | Issue | Ruling |
|---|---|---|
| SS Shetty v. Bharat Nidhi Ltd. (1991) | Whether an employee is entitled to get the salary for the notice period, even if he is terminated from the service on account of misconduct? | Yes, the employee is entitled to get the salary for the notice period, even if he is terminated from the service on account of misconduct. |
| Srikanth SM v. Indian Airlines Ltd. (2002) | Whether the notice period can be waived by the employee? | Yes, the notice period can be waived by the employee, but the waiver must be express and voluntary. |
| Ms. Sarita Singh v. M/s Shree Infosoft Private Limited (2022) | Whether the employer can recover the expenses incurred on the employee’s overseas deputation, if the employee does not serve the notice period? | No, the employer cannot recover the expenses incurred on the employee’s overseas deputation, if the employee does not serve the notice period. |
The Supreme Court of India has also issued a number of judgments on the issue of notice period. In the case of SS Shetty v. Bharat Nidhi Ltd., the Supreme Court held that an employee is entitled to get the salary for the notice period, even if he is terminated from the service on account of misconduct.
Supreme Court Judgements On Employee Notice Period
In the following cases, the Supreme Court of India has issued judgments on the issue of employee notice period:
- SS Shetty v. Bharat Nidhi Ltd. (1991)
- Srikanth SM v. Indian Airlines Ltd. (2002)
- Ms. Sarita Singh v. M/s Shree Infosoft Private Limited (2022)
SS Shetty v. Bharat Nidhi Ltd.
In this case, the Supreme Court held that an employee is entitled to get the salary for the notice period, even if he is terminated from the service on account of misconduct. The Court held that the notice period is a valuable right of the employee and it cannot be taken away from him, even if he is guilty of misconduct.
Srikanth SM v. Indian Airlines Ltd.
In this case, the Supreme Court held that the notice period can be waived by the employee. However, the waiver of the notice period must be express and voluntary. The Court held that an employee cannot be presumed to have waived his right to the notice period, simply because he has not served the notice period.
Ms. Sarita Singh v. M/s Shree Infosoft Private Limited
In this case, the Supreme Court held that the employer cannot recover the expenses incurred on the employee’s overseas deputation if the employee does not serve the notice period. The Court held that the expenses incurred on the employee’s overseas deputation are a part of the employee’s salary and they cannot be recovered from the employee, if he does not serve the notice period.
Conclusion
The Supreme Court’s judgments on employee notice periods have clarified the rights of employees and employers in this regard. Employees are entitled to get the salary for the notice period, even if they are terminated from the service on account of misconduct. However, the notice period can be waived by the employee, if it is express and voluntary.
The employer cannot recover the expenses incurred on the employee’s overseas deputation if the employee does not serve the notice period. These judgments have provided much-needed clarity on the issue of the employee notice period and have helped to protect the rights of both employees and employers.
FAQs
What is the notice period in India?
The notice period in India is usually specified in the employee’s contract of employment. However, if the contract does not specify the notice period, then the following rules apply:
For employees who have been in continuous service for less than one year, the notice period is 15 days.
For employees who have been in continuous service for one year or more but less than five years, the notice period is 30 days.
For employees who have been in continuous service for five years or more, the notice period is 90 days.
Can an employee waive the notice period?
Yes, an employee can waive the notice period. However, the waiver must be express and voluntary. This means that the employee must explicitly state that they are waiving their right to the notice period.
What are the rights of an employee who is terminated without notice?
If an employee does not serve the notice period, the employer may take legal action against the employee. The employer may claim damages from the employee for breach of contract. The amount of damages may vary depending on the terms of the contract and the circumstances of the case.
Can an employer terminate an employee’s services without notice?
Yes, an employer can terminate an employee’s services without notice in certain circumstances. For example, an employer can terminate an employee’s services without notice if the employee is guilty of misconduct.
What are the consequences of not serving the notice period?
If an employee does not serve the notice period, the employer may take legal action against the employee. The employer may claim damages from the employee for breach of contract. The amount of damages may vary depending on the terms of the contract and the circumstances of the case.
Can an employer terminate an employee’s services without notice?
Yes, an employer can terminate an employee’s services without notice in certain circumstances. For example, an employer can terminate an employee’s services without notice if the employee is guilty of misconduct.
What are the rights of an employee who is terminated without notice?
An employee who is terminated without notice may be entitled to compensation. The amount of compensation may vary depending on the circumstances of the case.