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01/06/2011 22:45:32
Re: No compensation stated in employment contract for immediate resignation


I would like to get your advice on my existing employment contract.

As per my checking, i found there is no statement or paragraph stating if i resign with immediate effect, i would be required to compensate my employer accordingly.

The agreed resignation period is 2 months notice in writing.

Is it possible an employment contract to exclude compensation for resignation which are lesser than the agreed period?

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KL Siew
02/06/2011 10:23:57
If there is nothing in the employment contract, it does not mean you cannot resign with immediate effect. Lets see what the law says. The following section of the Employment Act is quite clear about that:

"13. Termination of contract without notice.

(1) Either party to a contract of service may terminate such contract of service without notice or, if notice has already been given in accordance with section 12, without waiting for the expiry of that notice, by paying to the other party an indemnity of a sum equal to the amount of wages which would have accrued to the employee during the term of such notice or during the unexpired term of such notice,"
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27/06/2011 15:25:11
Since there is already stated in the employment contract that

'"The agreed resignation period is 2 months notice in writing."'

That will be the compensation you have to pay if you resign with 24Hour notice.
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