Dear Experts I Need to know what benefit we get from Indexation.

Please clarify it very Clearly.

Dear All,
One of my friend has resigned from his employment. As per his appointment letter, he needs to serve 3 months from the date of resignation. His appointment letter says that 3 months of notice period or salary in lieu of notice will have to be given. He has served 1 month in the company & he is ready to pay 2 months of salary in lieu of notice. Now his company is asking for Full Salary i.e. CTC for 2 months. But as per our knowledge it should be only BAsic Salry. Can any body help me in this regard for the following:
1. HOW CAN HE DEFEND IT?
2. UNDER WHICH LAW/ACT (WITH SECTION OR PROVISION) HE CAN DEFEND?
THIS IS REALLY VERY URGENT. YOUR EARLY REPLY WILL BE HIGHLY APPRECIATED.
You can mail me your responses on my personal e-mail: cayateshrenuke@gmail.com

Thanking you all in advance.

Regards'

Yatesh Renuke.
+91-9011024099
+91-9403355599

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