Can they do that? Learn your legal options and how to protect your business when an employee walks out.
When an employee suddenly resigns without notice, it can throw everything into disarray. Projects stall. Teams scramble. Morale takes a hit.
But can they just walk out like that?
Let’s break down what the law says – and what you can do to protect your business.
Is It Legal to Resign Without Notice?
In most cases, no.
If an employee has been with you for over a month, they’re legally required to give at least one week’s notice under the Employment Rights Act 1996 – unless their contract says otherwise.
Many contracts include longer notice periods. If so, those terms apply (as long as they’re reasonable and agreed). Walking out without honouring that notice may be a breach of contract.
But here’s the catch: you can’t force someone to stay.
What you can do is respond proportionately and protect your position.
What Are Your Options?
If an employee resigns and leaves immediately, you have a few routes to consider:
- Withhold final pay – You may be able to deduct pay in lieu of notice, if this is clearly stated in their contract. Be careful – unlawful deductions may lead to a tribunal claim.
- Recover costs – In rare cases, you might seek damages for financial loss caused by their sudden exit. But these cases are hard to win unless the loss is clear and contractual.
- Waive the notice – If their absence won’t cause disruption, you might choose to let it go. Sometimes, cutting ties quickly is best.
- Document everything – Keep records of when and how the resignation happened. This protects you if disputes arise later.
Key Steps to Take Immediately
- Acknowledge the resignation in writing. Confirm the date and clarify that they’ve chosen not to work their notice period.
- Secure systems and data. Restrict access to email, software, and client accounts. This is especially vital if the employee had sensitive responsibilities.
- Inform relevant teams. Let colleagues and clients know there’s been a change – without oversharing details.
- Review their contract. Check the terms around notice, deductions, or any restrictive covenants.
- Plan the handover (if possible). Even a brief call or note can help protect business continuity.
Can You Take Legal Action?
It’s possible, but rarely worth it.
Courts don’t usually award damages for employees breaching notice terms – unless you can show serious loss. Legal fees often outweigh the benefits.
Instead, focus on tightening your contracts and processes going forward.
Prevention Is Better Than Cure
Research shows that as many as 15% UK employees have ‘revenge quit’, often without notice1. Businesses therefore need to address underlying causes.
While sudden resignations can’t always be predicted, you can reduce the risk by:
- Creating a positive culture
- Regularly checking in with staff
- Ensuring contracts are clear and up to date
- Offering exit interviews and flexible transitions
Final Thought
An unexpected resignation is disruptive, but it doesn’t have to derail your business. Know your rights. Act quickly. And use it as a chance to strengthen your people policies.
If you’d like help reviewing contracts, improving retention, or managing resignations more smoothly, we’re here to support you. We specialise in practical, proactive HR advice that helps protect your business – and your people. Get in touch today and see how we can help you.
