I have received a formal letter from my previous employer (a leading Indian industry), to pay recovery amount for not serving notice period. I had worked in that company for only 2 months, since the work culture was bad i decided to quit post informing my line manager and submitting my resignation. Now they have called me and also sent me a speed post informing me to pay my recovery amount (3 months notice period equivalent). The amount is quite high, I do not require any experience letter or anything from their side. What are the chances that they will take any legal action? My current organisation is aware about all of this and there is no issue with them whatsoever. PS: My offer letter with previous organisation that i had signed has one point which mentions that : "you may resign from the company's employment without cause by giving three months notice in writing or by payment of 3 months basic salary on a pro rate basis , in lieu thereof. In the event of your resignation , the company in its sole discretion opt to accept the same and relieve you prior to the completion of the stipulated notice period of 3 months, without any pay in lieu of the notice period." Please suggest what to do.
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1) you did not serve the notice period of 3 months as per your appointment letter
2) if you fail to make payment company can sue you to recover the 3 months salary
3) company would definitely file case as it wants to send message to employees to serve the notice period when they resign
Is there any way , I can get out of this without paying
PS: My offer letter with previous organisation that i had signed has one point which mentions that :
"you may resign from the company's employment without cause by giving three months notice in writing or by payment of 3 months basic salary on a pro rate basis , in lieu thereof. In the event of your resignation , the company in its sole discretion opt to accept the same and relieve you prior to the completion of the stipulated notice period of 3 months, without any pay in lieu of the notice period."
The conditions in your offer letter is very clear that you may have to pay the notice period or may have to serve the notice period.
You can give a reply in case you receive a notice stating that you had to leave the company for the reasons whatever you may rely upon and may request for waiving off the payment as you suffer from lot of financial hardship.
Legally you may not have any exemption
Is there any way , I can get out of this without paying
You may remain silent to the notice and wait and watch the developments from that side and you may react to the legal steps if initiated at a later stage by the employer.
you can contest the recovery suit filed by company
2) suit would take years to be disposed of