Compensation in Lieu of Notice

The Notice when given by the employee

When the employee abandons employment and/or fails to give notice s/he shall be liable to pay to the employer a sum equal to half the wages that would be payable in respect of the period of notice that is not worked.

If the employee while working the notice decides not to continue to work the notice period, s/he is also liable to pay to the employer a sum equal to half the wages that would be payable in respect of the unexpired period of notice.

If on giving notice or while working the notice, the employer decides not to allow the employee to work or continue to work the notice, the employer will be obliged to pay to the employee a sum equal to the full wages that would be payable in respect of the unexpired period of notice.

 

The Notice when given by the employer  

 On receiving notice from the employer, the employee has the option to either continue to work the notice period, or to request the employer to pay him/her a sum equal to half the wages that would be payable in respect of the unexpired period of notice.

If the employee decides to terminate employment at any time while working the notice, the employer is also obliged to pay the employee a sum equal to half the wages that would be payable in respect of the unexpired period of notice.

If the employer decides not to allow the employee to work or not to continue to work the notice, the employer is obliged to pay to the employee a sum equal to the full wages that would be payable in respect of the unexpired period of notice.

 

Waiving of Notice

In any case, notice which is due in terms of law is waived when there is a good and sufficient cause (eg. Disciplinary action, medical condition).