The Supreme Court of India affirmed that businesses have a fundamental right to shut down under Article 19(1)(g), adhering to labor laws. If the State does not respond within 60 days, closure is automatically approved. The ruling emphasized that employers must show valid reasons beyond financial hardship to justify shutdowns, ensuring workers’ rights are protected.
The Supreme Court of India has upheld that employers can impose penalties on employees who resign before completing their contract’s minimum tenure. This ruling validates employment bonds and emphasizes reasonableness in their terms. While companies can enforce minimum service commitments, former employees retain the freedom to pursue other jobs post-resignation.