I’ve a question regarding resignation details. If I want to resign from a company with a 1-month notice period and pay salary for other 2 months, because we are required to give a 3-month notice, is it OK. Please also let me know about the salary whether it is basic salary or salary with all the other benefits like house allowance, mobile allowance etc.

Name withheld

Answer: If you give only a month’s notice you can be made to pay an amount equal to the salary and all the allowances that you would have received over the two months. The same applies if the company gives you a similar notice. You see the law uses the word ‘remuneration’ and not basic pay for all such payments. ‘Remuneration’ includes the basic pay for all the allowances that you receive regularly.

You can, however, avoid this if the company agrees to release you earlier. It is not a must that you have to complete the three-month notice period if both the sides reach a mutual agreement. In fact this is what most companies are doing as they do not want ‘disgruntled’ employees to continue working for them.