In Brief
Sanjay Jain, an Air India Assistant Aircraft Engineer, resigned with 30 days' notice on 1 September 2006, effective 1 October 2006, after completing his five-year bond period. Air India declined to accept the resignation. The Supreme Court held that under Standing Orders 17 and 18 of the Industrial Employment (Standing Orders) Act, 1946, a permanent employee's resignation becomes effective automatically upon expiry of the 30-day notice period without requiring employer acceptance, unless disciplinary action is pending. The employer has no power to reject a compliant resignation. The Court quashed the High Court's dismissal and Air India's refusal, directing payment of all pending dues, provident fund, gratuity, and other benefits.
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