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later (none)     27 April 2014

Not getting notice period pay on termination

My company (startup of 40 people) terminated my employment last week abruptly without any prior written or oral warning. The reason cited was non-performance. They are also saying that they will not pay me the notice period pay which was 2 months, as was mentioned in the employment contract. It said if I resigned I had to give 2 month notice, and same was applicable for company on termination. That is if they terminate me, they will pay 2 months of salary. There have been 4 precedences in last 4 months and they have paid everyone 2 months of salary (I have that proof as well) now in my case they are creating an exception. If I take this to court can I get my two months of pay from them? Are there any things/clauses that may hinder this (I mean can they forge any information or do something unethical to win the case) ? Typically how long such cases last?



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 2 Replies

Adv. Santosh Yadav (Advocate/Lawyer)     27 April 2014

As far the case timings are concerned it is influenced by lot of factors, such as holiday, advocate absent, client absent, Magistrate absent , some times the computer does not work. some time tehre is lot of work on that particular day

and it also happens that your matter may get finished early also if all the above factors does  not obstruct your case.

You will have to first send legal notice mentioning aabout the fact and if they forge any document they are liable for criminal action too..

Adv. Santosh Yadav, Mumbai

info@lexwork.in 9820959658

Kumar Doab (FIN)     27 April 2014

>>>Such companies are covered by (Name of the State) Shops and Commercial Establishments Act!

One of the duties of the Inspector appointed under this Act is to ensure that dues of the employee that has separated are paid.

You may also be eligible to approach Inspector under Payment of Wages Act.

The labor Inspector in local o/o Labor Commissioner may also be functioning as Inspector under this Act and also as Inspector under payment of Wages Act.

 

In one such case the authority after 3 hearings only in 3 months decided the matter and ordered the company to pay dues in 30 days to employee!!!!!

You may go thru;

https://www.lawyersclubindia.com/forum/Dispute-regarding-resignation-and-notice-pay-70662.asp#.U1ykUUeBmXU

 

There are many threads on service matters that you may find relevant e.g:

 

https://www.lawyersclubindia.com/forum/Claims-not-settled-by-the-company-after-resignation-98912.asp#.U1ykSkeBmXU

https://www.lawyersclubindia.com/forum/Company-not-providing-the-relieving-letter-101252.asp

https://www.lawyersclubindia.com/forum/Notice-Period-Law-12941.asp#.U1yj0EeBmXU

 

 

https://www.lawyersclubindia.com/forum/Salary-and-expenses-not-paid-after-resignation-101261.asp

 

 

>>> What is this  establishment: Commercial, Industrial, Small Enterprise?

You and Redg. Office of the company are located in which state?

What is your designation and nature of duties?

The registration certificate should have been and is must to be displayed in office of the company near entrance!

While you post a query post these details so that everyone can understand and advise accordingly!

Everyone may not understand what is start up company.

 

>>> Non Performance is not easy to prove. Performance is dependant on many factors.

The payment of notice pay to others can help you.

Non payment of notice pay stated in appointment letter is breach of contract by employer.

Termination order shall affect your future endeavors. It shall be appropriate to pursue so that it is called back.

You may certainly contact local labor consultant/service lawyer and proceed under expert advice of your lawyer.

 

 

 

>>>  If in termination order or later company has not asked you to handover the charge then it has not deemed it as a requirement in your case.

Has the company supplied you the service certificate, relieving letter, salary slips of each month, FNF statement, FNF dues by bank DD only (thru redg. Post),Form 16 as per correct FNF statement, PF number (if applicable) PF a/c slips of each year, ESIC Card, NOC/NDC etc……………… 

 

>>> Submit a gentle representation addressed to good offices of appointing authority, MD and narrate all representations made so far ((with dates, phone numbers, names and designation of company’s employees contacted, brief minutes of discussion) and raise your demands…………….and ask to reply by redg. Post.

You  may mention that postage prepaid self addressed envelope is attached!       

 

If employer has defaulted on payment of wages it must have defaulted on statutory social security benefits too e.g; EPF,EPS,EDLI, ESIC,TDS…..etc

Employee can approach:

--- Inspector under Payment of Wages Act: applicable to all employees drawing wages up to Rs.18000/pm as per def. of wages in the Act. 
Refer to: Payment of Wages Act; Sec13A and 2: 3*[(i), (ia), 3*[(vi), 3, 4 ,5, 13a, 14, 15, 16, 17A, 20…………..

The employee should approach within 1 year or has to get the delay condoned.
Employer has to issue wage slip to all employees.

---Inspector under  Shops and Commercial Establishments Act


You may go thru:


--- O/o Labor Commissioner

----RPFC thru nearest PF office ;The 

----ESTC Inspector in jurisdictional ESTC office


--- ITO; TDS where you file your ITR


CIT-TDS (jurisdictional) where company files ITR
There are provisions for penalty/punishment for non issuance of Form16 by the deducator…………..

 

----Lawyer/Law firm: Your lawyer may opine to issue statutory notice for ‘Winding Up’ the company……………………..and this may send zitters in Indian company. 

---Civil Court

 

---Employees Unions, Trade Unions

They are sensitive to such issues and know precise ways to handle such matters too.

Influential Community leaders may adopt ways that suit them and drill sense into the heads. 

Employees have been contemplating to file criminal complaints u/s 406, 420……………………………and to approach employer as creditors treating unpaid wages as debt on employer e.g;

https://www.lawyersclubindia.com/forum/details.asp?mod_id=72011&offset=1#.UvYBGEeBmXV

 

All of these enactments should be available on Dept. of labor website of your state.

 

 

Approach your labor consultant/service lawyer with copies of all documents on record and proceed under expert guidance of your lawyer.


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