This article is published by The Legal Warning India and written by Advocate Uday Singh.
Resignation Accepted but Full and Final Settlement Not Paid – What Should You Do Next?
You resigned from your job.
Your resignation was formally accepted.
Your notice period is over.
But now:
- HR is not responding
- Full and final settlement is pending
- Emails are ignored
- No clear timeline is given
This is one of the most common employment disputes in India.
This article explains what it legally means when resignation is accepted but FnF is not paid, whether the employer is at fault, and what steps an employee should take next.
Information is based on publicly available labour law principles and employment dispute practices.
What Does “Resignation Accepted” Mean Legally?
Once an employer accepts your resignation:
- Employment relationship comes to an end after LWD
- Employer acknowledges your exit
- Contractual obligations crystallize
After acceptance, the employer cannot indefinitely delay salary dues or full and final settlement.
What Is Included in Full and Final Settlement?
Full and final settlement generally includes:
- Last working month salary
- Notice period dues (if applicable)
- Leave encashment
- Incentives / commissions (if earned)
- Statutory dues, if applicable
These are not discretionary payments. They arise out of completed employment.
Is There a Legal Time Limit to Pay Full and Final Settlement?
While Indian labour laws may not specify a uniform number of days, labour authorities and courts generally expect:
- Settlement within a reasonable period
- Usually 30–45 days after last working day
Unjustified delay can amount to unfair labour practice.
Common Excuses Employers Give (And Legal Reality)
- “Accounts process pending” – Not a legal excuse
- “Management approval pending” – Internal issue
- “Audit going on” – Employee cannot be penalized
- “HR backlog” – Not employee’s problem
Courts generally do not accept internal delays as justification to withhold earned dues.
When Non-Payment Becomes Legally Problematic
The employer’s position weakens when:
- Resignation acceptance email exists
- Last working day is completed
- No show-cause or inquiry is pending
- No quantified recovery is communicated
In such cases, withholding FnF becomes legally indefensible.
What Legal Remedies Are Available to the Employee?
- Sending a legal notice demanding FnF
- Filing a complaint before Labour Department
- Approaching Labour Court / Industrial Tribunal
- Civil recovery proceedings (where applicable)
In many real cases, a strong legal notice leads to immediate settlement.
Related Legal Guide (Recommended Reading)
Common Mistakes Employees Should Avoid
- Waiting endlessly without written follow-up
- Relying only on verbal assurances
- Not documenting resignation acceptance
- Missing limitation timelines
Silence is often misused against employees.
What Should You Do Immediately?
- Collect resignation acceptance proof
- Prepare FnF breakup
- Send a formal legal notice
- Seek legal guidance before escalation
Need Help Recovering Full and Final Settlement?
If your resignation has been accepted but your full and final settlement is still not paid, timely legal action can protect your rights and recover your dues.
Disclaimer: This article is for general legal information and awareness purposes only. It does not constitute legal advice or solicitation. Communication is purely informational, in compliance with Bar Council of India Rule 36.
