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It depends upon the context. Organization force employees two resign under two conditions
1. If the company is getting liquidated or the company’s sales has declined beyond recovery level.
2. Any new employee joins in top management and his/her job is to reform the business then he may force the old employees to resign to bring in his or her own acquaintance into the company.
If the settlement is mutually agreed by the outgoing employee and the employer then there won’t be any legal binding.
The above are just my experiences. More inputs on this will be appreciated
