Can your boss force you to serve full notice period? Know buyout rules & costs
Notice period buyouts are often treated as though they are a standard right available to employees. However, there is no specific legal provision that gives an employee an automatic right to buy out the notice period.
Employers cannot legally compel employees to serve the full notice period upon resignation. Employees have the right to opt for a buyout of the notice period instead, provided it is stipulated in the employment contract. When this option exists, the employer cannot insist on the employee completing the notice period. However, if an employer refuses the buyout request, the employee may face consequences, including potential legal action for breach of contract or loss of trade secrets.
Companies can seek damages from the employee for failing to serve the notice period, but cannot compel the employee to return to work without a valid reason.
Written by urgent.news from Times of India's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
