in my employment contract, it states (exact wording) - 'must provide 2 months advance notice and penalty charges of 1 month's salary' -- are the penalty charges enforceable?

Answer :



    answered on 26/10/2016

    flag as inappropriate

    The penalty charges are only unenforceable if it stipulates an excessive amount of money to be paid upon the breach of the employment contract. This then depends on what work you are doing to asses the proportionality. It does not seem that the clause is a penalty clause in this case however.

    Did you find this post useful? Please provide your feedback by clicking on the link above.