Notice period in India — what's standard, can you buy it out, what if employer refuses?

Quick frame: Indian notice periods vary by industry. Tech: 60-90 days. Banking: 90 days. Manufacturing: 30 days. Senior roles: 6 months. Govt: 3 months for non-Group A. Notice can be bought out by paying (remaining days × CTC ÷ 365). Some employers refuse buyout — particularly for client-facing roles. Use the Notice Period Calculator to compute your buyout cost.

Standard notice periods by industry

Industry	Common notice
IT services (TCS, Infosys, Wipro)	90 days
Product tech (Flipkart, Amazon, Google)	60-90 days
Banking	90 days
Manufacturing	30 days
Govt (non-Group A)	90 days
Senior management (CXO)	90-180 days
Startups	30-60 days
Consulting (McKinsey, BCG)	60-90 days

This is what your offer letter says. Companies legally enforce up to 90 days; longer requires explicit contract.

Can I buy out my notice?

Most companies allow it. Buyout = (number of unfulfilled notice days) × (annual CTC ÷ 365). For someone with ₹20 lakh CTC and 60 days remaining: ₹3.29 lakh.

Some companies require working out 30 days minimum, allow buyout for the rest. Check your offer letter or ask HR.

What if employer refuses buyout?

Common in client-facing or critical roles. Options:

1. Negotiate — offer to find a replacement, train them quickly. Show willingness to assist.
2. Document refusal — if HR refuses in writing, you have grounds for relief.
3. Relieving letter is critical — without it, your new employer may refuse to onboard you.
4. Last resort: legal — Industrial Disputes Act / Shops & Establishments Act may protect you. Talk to a labour lawyer.

What does the new employer want?

• Joining date confirmation
• Relieving letter from current employer (proof of clean exit)
• Salary slips for last 3 months
• Form 16 / IT return for last FY
• Background verification — typically 7-15 days post-joining

If you can't produce a relieving letter (because old employer is being difficult), most reputable new employers will revoke offer. Never join two jobs simultaneously without clean exit from the first.

What if employer threatens legal action?

Rare but happens. Indian labour law allows specific performance only if explicit contract requires it (most don't). For most cases, you can leave with a buyout — courts treat this as standard practice. Document your buyout offer; if employer accepts, no legal grounds.

Tips for a smooth notice period

1. Resign in writing, with formal email and physical letter if possible. Keep copies.
2. Knowledge transfer: document your work, train successors. This buys goodwill.
3. Last working day: collect relieving letter, experience certificate, full and final settlement (FNF), Form 16.
4. PF transfer / withdrawal: initiate via UAN portal.
5. LinkedIn update after the last working day.

When notice period > new job's required start

Your new offer says "join within 30 days". Your current notice is 90 days. Options:

• Buyout 60 days
• Negotiate joining date with new employer (often they wait 2-3 months for senior hires)
• Take leave during notice (some companies allow this)

Most senior tech jobs are flexible on joining dates. Lower-volume roles less so.

FAQ

Q. Can I take long leave during notice period? A. Depends on policy. Most companies allow accumulated leave to offset notice (e.g., 30 days leave reduces notice by 30 days). Confirm with HR.

Q. Does notice period count for gratuity? A. Yes — your last working day is the official end. Gratuity calculated up to that date.

Q. What if I accept counter-offer? A. Withdraw resignation in writing within the notice period. Some companies have 1-month cooling off. Document everything to avoid disputes.

Q. Can I avoid notice period entirely? A. Only by buying it out fully OR if the contract has "at-will" provisions (rare in India). Walking away without notice = potential legal action + no relieving letter (deal-breaker for next job).