LCI Learning

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

MUNESH GOEL   13 October 2019

Compulsory retirement scheme

A PERSON WAS EMPLOTED WITH AN ORGANISATION SINCE 2001 AS VICE PRESIDENT IS APPOINTED AS MD IN 2011 WITH CONDITION THAT HE WILL BE RE-DESIGNATED AS VP ON EXPIRY OF HIS PERIOD AS MD. MEANWHILE COMPANY INTRODUCED COMPULSORY RETIREMENT SCHEME AS IT WANTED TO LIQUIDATE. THE PERSON WAS TOLD THAT SUCH SCHEMES ARE NOT FOR MD BUT CONSIDERING HIS EMPLYMENT AS VP, HE WAS GIVEN BENFIT OF CRS SCHEME BUT ONLY ON HIS SALARY AS VP BEOFRE APOOINTMENT AS MD IN 2011 AND FOR THE PERIOD FROM HIS JOINING DATE TO THE PERIOD BEFORE HE WAS APPOINTED AS MD. PERIOD OF EMPLOYMENT WAS CONSIDRED FROM 2001 TO 2011 ONLY. AS EX-GRATIA UNDER SCHEME DEPENDS UPON SALARY AND PERIOD, THE AMOUNT OF EX-GRATIA IS AFFECTED ADVERSELY. THE APPOINTMET AS MD WAS ON SALARY WITH BENEFITS LIKE LEAVE ENCASHMENT GRATUITY PROVIDENT FUND ETC.

 

AFTER EXPIRY OGF HIS PERIOD, HE WAS REDESIGNTED ON PAPER AND GIVEN BENEFITS OF HIS LAST SALARY AS VP IN 2011. CAN HE DEMAND BENEFOT OF EX-GRATIA TAKING HIS EMPLYMENT FROM 2001 TO 2018 WHEN HIS PERIOD AS MD EXPIRED. PLUS SALARY OF VP AS OF 2011 IS WRONG WAY AS THE SALARY AS VP WOULD HAVE BEEN HIGHER AFTER ADDING INCRESE IN SALARY AS GIVEN TO ALL OTHER EMPLOYEES. THERE ARE NO PAY SCALES IN THIS COMPANY NOR ANY DA SYSTEM.

 

 

 



Learning

 0 Replies


Leave a reply

Your are not logged in . Please login to post replies

Click here to Login / Register  


Related Threads


Loading