Giri (Designer) 17 September 2011

Exploitation - recovery even though,no salary

Dear Sir / Madam

I joined an MNC on 12th may 2011 in bangalore, 1st 2 days of which were orientation. Starting next week, I was deputed to Chennai office as a pert of training. I reported at chennai, but faced / came to know the following

I was not provided a basic accomodation, even temporarily.
was informed that the Deputation allowance which is supposed to be paid monthly, shall be paid after the deputation peiod.
There was no particular training planned as such, and was put on bench.
Came to know that they may extend or ask to permanently move to Chennai ( as they really did to other collegues later)
Even, Facility in bangalore was shifted from Elecronic City to Jigani, which is very far to travel from my place of residence.
deductions for transport came to notice only after joining.

Hence after coming bach to bangalore that weekend, i took a call to resign after discussion with family members. I tendered my resignation on 24th of may Via Email to the process HR at Chennai and in next 2 days dispached the ID card to the Chennai office.

I recived a call, for which i justified my decisions.

After few days, i recieved a letter stating of my un-authorised absence and asked me to join back. I promptly replied back to the concerened process HR ( not the one who sent the letter).

Again a letter popped up stating that i am being terminated as i have not reported to duty inspite of letter. I kept mum.

Now after 3 months, i have recieved a letter with f&F settlement details asking me pay them an amount of 25k.

Please note that i have neither recieved any money either as salary nor joining bonus from this company, instead i have spent enough for the travel, stay , food for my deputation in chennai.

The company policy in the joing letter states

"Notice Period/ Separation:

Your employment with the Company can also be terminated either by the Company or by you by giving

the other party three months advance notice. If the Company terminates the employment and decides

to relieve you before the completion of the notice period, the “Basic” component of the salary for the

balance notice period would be paid to you. If at your request, the Company agrees to relieve you before

serving the full notice period, you will be liable to pay the Company the “Basic” component of the salary

for the balance notice period. However, please note that accepting any such early relieving request would

be entirely at the discretion of the Company.

On termination of your employment for any reason, you shall comply with the Company’s termination

procedures, sign all documents and return all Company property. The Company will not be bound to pay

the dues, if any, till you have completed all the separation procedures"

Please let me know, how should i handle this situation.

Expecting your valuable guidance in this matter

Regards

Giri

Reply Follow

6 Replies

Tarun Dhingra (Advocate) 17 September 2011

ALTHOUGH I M NOT AN EXPERT PLS HAVE ADVICE FROM THEM ALSO ...

AFTER READING YOUR CASE I CONCLUDE THAT ---YOU WERE ON TRAINING PERIOD ..AND COMPANY HAS TO BEAR THE COST OF TRAINING TO THEIR EMPLOYEE

1---CHECK OUT AGAIN YOUR SERVICE AGREEMENT WITH THE COMPANY ANY CLAUSE REGARDING PRE TERMINATION OF EMPLOYMENT

2--MORE IMP --DID U SIGN ANY SERVICE BOND ???? OFLATE COMPANY ASK FOR IT ...IN THIS COMPANY IS GIVING YOU TRAINING AND COST WILL B BORN BY COMPANY AND IN CASE YOU LEAVE BEFORE ????PERIOD (WRITTEN IN SERVICE BOND PERIOD ) U WILL HAVE TO GIVE A SPECIFY AMT (WRITTEN IN SERVICE BOND )TO COMPANY .. SO PLS CHECK FIRST

GOOD LUCK

Giri (Designer) 17 September 2011

Dear Tarun;

There has been no mention about deputation/training in the offer letter. In a separatly drafted mail, the HR has sent my joing location as Bangalore and my Training location as chennai, with the dates of reporting. Orally he said the training period would be for a period of 3 months. There are no further clauses on this.

And as i said, there was no specific training planned, rather i was told it was on-job training when i joined there.

Regarding bonds - I have not signed any bonds as such, other than signing on the offer letter provided to me with annexures which states the compensation and company policy ( an extract of which has been posted above".

Regards

Giri

Giri (Designer) 17 September 2011

Also kindly note, as per oppointment letter, i was under probationary period of 12 months and as per policy, the Notice period in probation is 3 months in the company.

Kumar Doab (FIN) 17 September 2011

Notice period of 3 months in probation is unreasonable. You have mentioned that you have signed the offer letter and company policies are stated in annexure. Have you signed the annexure also?

In your offer letter is it mentioned that you shall be on training for initial 3 months? if yes then you were in training period. What is the notice period for separation during training period mentioned in any of the docs e.g. offer letter, annexure......etc? You should record in your written communications that on dated...............Mr.............designation.....department HR, stated "the training period would be for a period of 3 months". Prepare a record of all transactions/discussions on phone with phone numbers etc, and in person with dates etc. and record these. You have not signed any doc to compensate the company for training expenses.

Company did not communicate to you for transport expenses, but levied these. During training accommodation was not provided, deputation allowance was declined to be paid, and you were informed this shall be paid only after the deputation period is over. Was it informed in writing? It appears that company has termed training as deputation to deny basic boarding and lodging and to pay later to those only who successfully complete the training. However this is unfair.

What was stated in the written communication supplied by company, you shall report to Chennai for training or deputation, and what was the compensation to be paid as per this communication?

If you have signed your acceptance towards transfer to any location then company can post you at any location.

It seems you had only one company property i.e. ID card which you have submitted.

You should have explained your grievances/hardships faced/unfair conduct of the company before resigning, or in your notice of resignation/resignation. Company has declared you absconding, but did not give you fair opportunity to explain.

However you should narrate the details point wise and ask the company to withdraw their communications declaring you absconding, termination letter etc..........

You can submit expense statement towards expenses in occurred by you to follow the orders to report at Chennai and any other expenses and demand payment say within 15 days.

This is felt that you have replied to company, however if you have missed anything you may include it in your reply.In short you should counter the charges with facts, by structured communications for which you can seek help from elders, lawyer/law firm.

If you do not get any relief you can lodge a complaint with local o/o Labour Commissioner at Banaglore.

V. VASUDEVAN (LEGAL COUNSEL) 17 September 2011

You need not pay any thing. The Company has violated even the basic norms of employment - provision of accomodation on deputation or an allowance in lieu of the same and hence you were constrained to leave. ALso you did not even complete a month and hence no notice period is applicable in your case.

vasudevan

H. S. Thukral (Lawyer) 18 September 2011

You have not resigned but your services have been terminated as communicated to you. Issue a legal notice demanding salary for the notice period, your dues and allowances.

If you don't want to take counter action, keep quite and call their bluff. The amount can not be legally claimed by them.