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ViwaViwaViwa (JM)     22 September 2013

Contract employee act

Dear Sir / Madam

Please read my following story carefully and advice me........

I was an employee of "A" company. Which is serving for "B" company.

"A" company winded up there operations in India. But "A" company gave proper notice period, compensation and leave encashment to their employee. During fare well meeting "A" company director stated that all "A" company employee will get absorbed in "B" company. 

"A" company released by "B" company from their contract.

All "A" company employee stop working for "B" company from released date. Which was Sunday.

But "B" company director called all "A" companies employee back and told them to please start working for us to meet our target. He also committed that, he will put all "A" companies employee for four month contract and then he will bring all "A" companies employee to "B" company payroll.

Here "B" company is Primary employer for us & now we are going to be employee for a new "C" company. 

"C" company is like outsourcing company, which supply employee or staff to "B" company

 

My Queries are as below.

1- We are serving to "B" company from last 24 days but yet no contract is prepare, no wages are finalized no insurance is done. So Do we have any legal rights to claim for permanent employment from "B" company as till date no contract is prepare ? We Sign muster every day and now they are saying us to sign back dated contract.

2- Do I have rights to ask for contract documents for contract which have happened between company "B" & Company "C"?

3- Payment terms are not finalized before and now they are saying to work in less salary. Is there any law which will give us pay protection.

 



Learning

 1 Replies

Kumar Doab (FIN)     22 September 2013

-The company A has relieved all employees and has settled their accounts……………………( probably to the full satisfaction of employees and it seems no retrenchment compensation was asked for/paid for……….)

-"A" company released by "B" company from their contract.

So the legal formalities are over between the companies.

-"A" company director stated that all "A" company employee will get absorbed in "B" company. 

This is verbal statement.

There is probably no agreement in writing.

-But "B" company director called all "A" companies employee back and told them to please start working for us to meet our target. He also committed that, he will put all "A" companies employee for four month contract and then he will bring all "A" companies employee to "B" company payroll.

Here "B" company is Primary employer for us.

In all probabilities it would be FTC for 4 months.

After 4 months employees would be relieved and there would be no claim and stake on employment.

"B" company director by then would complete his targets.

 

-We Sign muster every day and now they are saying us to sign back dated contract.

Record such statements. All employees must stand as witness to each other.

Let the contract be backdated but all employees may sign in current date on which contract is shown and handed over.

-Do I have rights to ask for contract documents for contract which have happened between company "B" & Company "C"?

In all probabilities company B is providing FTC for 4 months.

You have no right.

- Payment terms are not finalized before and now they are saying to work in less salary. Is there any law which will give us pay protection.

Don’t agree to work for less salary.

"B" company director need you to complete his targets. If all of you can negotiate and do not settle for terms which are not favorable to you. Don't be a ping pong ball.

Firm up next venture as ap.

Collect dues, whatever you can.

 

If no contract is signed there would be no notice period/pay……………..etc. 

It shall be appropriate to approach a competent and experienced labor consultant/service lawyer as ap. The lawyer that has seen all of your docs can advice you the best. 

Be SMART.

 

 

 

 


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