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Notice Period Obligations
Hi all,
I resigned from my role this week (Monday) and gave 3 months notice per my employment contract. I was asked to leave the business Tuesday and that my notice and entitlements would be paid out.
My query is, what are my obligations to my former employee during my notice period? I've been told that I still need to be available to assist when required and my former employment contract speaks to me being prohibited from working for a competitor during this period. What should my stance be on those 2 issues and is there anything else I should be considering?
Any thoughts would be appreciated.
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Hi col_miner,
You are basically on what is commonly termed "gardening leave". Assuming the employment contract is worded correctly, you are effectively still employed by the company until the end of the notice period, and therefore prohibited from working for another company. They are still paying your salary during the leave period so they are well within their rights to call you in if they wish.
There is legal precedence of people in your position being sued by their employer when they have joined a competitor while on gardening leave. In fact there was one case that comes to mind where the new employer was also sued, under tort law.
If you are thinking of starting to work for a company who competes with the company you are leaving, I would suggest you get some sound legal advice before doing so.
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Job Media,
Many thanks for the response.
A couple of other queries:
1. Am I unable to work at all or just for a competitor?
2. If I'm still an employee, should I still receive all benefits under my contract? E.g. I was provided (per my contract) with a fully maintained vehicle during my employment.
I've attached of the notice period below - thoughts?
You may terminate this Agreement at any time without ascribing a reason thereto upon giving no less than three (3) months notice in writing to the Company. In the event you terminate this Agreement it is incumbent upon you to give every co-operation and assistance to the Company to secure and induct a suitable and acceptable person to assume your employment duties. During the period of notice the Company may at its option give or not give you duties and you may not engage in the employment of any competitor, supplier or Client of a member of the Company. If you have given notice under this clause, the Company may in its absolute discretion terminate the notice period and the employment at any time with three month’s notice or payment in lieu for that three months, and the Company will not be required to pay you any further amount due to the notice ending or the Company causing the early termination of the Employment.
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First ascertain whether you are on gardening leave or being paid the notice out (as in very shortly).
If the company is paying you the 3 months notice week by week, or month by month, it is gardening leave and the advice above stands. You cannot accept other work during this time, however you may be entitled to the company vehicle but will definitely continue to accrue leave etc. The vehicle depends on whether a benefit or a tool of trade, gets a bit grey and may need further advice
If your notice is paid out, ie they give you 3 months wages and all leave accrued, this is having your notice paid out and you are free to go work elsewhere without having to come back to them for a day here or there. Only stipulation with working is not to work for a competitor in line with your contract, unless you sign a deed of release agreeing to new conditions. If going down this road, seek advice as you will likely be worse off as you don't get your other benefits or further leave accrued
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Cottoneyes,
Many thanks for that. I should be paid out this week so that would appear to be the answer.
Thanks to all for the help.
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