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cler81 (Worker)     22 November 2013

Regarding company asking me to pay arrears

HI, 

Now i was working with a private firm where i quit my as i got another  preferred opportunity. Now as per company rules i gave/served the required notice period, settled all files I was handling and its over 1 month now that I quit. I have not received the last month salary neither the relieving letter or the PF statement.

But instead here is what is happening:-

When I joined , since it was a 6 day working office, as per a verbal agreement with the MD he allowed taking 2 days extra leave every month. I have no written agreement telling I can take the two leaves (as when I joined the MD told it wont be nice for other employees if  they write it on joining letter, but he assured that I can take that, and the Director and HR were told about it). As per this verbal agreement I had been taking such leaves for last 3 years, and they were acknowledging by paying me the salary accordingly.

But now they are telling that it is not applicable. For the last 3 years that i worked, they are calculating all the monthly 2 leaves that i took as without pay and asking me to pay the calculated amount back to the company.

But, I have some emails I have sent to HR over the time (when i took leave) where I have clearly mentioned that I am taking a leave as per the 2 day extra leave allowance as a proof that such a verbal agreement existed with the MD and Director. Can this be counted as a support on my behalf? Also can the fact that they did not cut my salary over the years and suddenly bringing up such a point be taken for an argument? 

Do i have to pay the company back for all these leaves?  or can i take a legal ground on this??

Also within how many days of quiting , the company must pay the PF statement, Last month salary , Relieving letter, etc? Is there any law on this??

Thanks in advance.

 

 

 

 

 



Learning

 3 Replies

Kumar Doab (FIN)     23 November 2013

You have posted that:

 

I have some emails I have sent to HR over the time (when i took leave) where I have clearly mentioned that I am taking a leave as per the 2 day extra leave allowance as a proof that such a verbal agreement existed with the MD and Director. Can this be counted as a support on my behalf?

 

This should count.

 

If employer or its HR declines such agreement it could have denied years back.

 

You may find the judgment of Supreme Court of India useful and relevant;

 

“The excess amount paid to the employees due to erroneous pay fixation done by the authorities shall not be recovered from the employees.”

 

 


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cler81 (Worker)     24 November 2013

Thank you for the helpful reply.

 

What about other pending necessities like  last month salary, relieving letter, pf statement, etc?  Are there any laws on these? Can the company take forever for settling these or are there rules for any time frame for settling these?

 

Kumar Doab (FIN)     24 November 2013

 

>> The day for payment of FNF wages is last day in office or in next 2 days or max. the usual pay day.

 

 

The fixation of wage period, time of payment, deduction of wages is well explained in Payment of Wages Act, Shops and Commercial Establishments Act, Statue……………..

You may go thru:

--Payment of Wages Act Sec: 2 { 3*[(vi) (d)} ,  4, 5, 7, 

--(Name of your state) Shops and Commercial Establishments Act e.g; The Delhi Shops and Establishments Act, 1954

37. Powers and duties of the Inspector.

(b) Duties of the Inspector

(i)  that in dispensing with the services of an employee the provision of the Act and Rules have  been  complied  with  and  no  dues  payable  under  the  Act  or  Rules  have  been withheld;

 

You may go thru this enactment of your state and check if you would be covered as per def. of employee in this enactment.

--Standing Orders of the company (Certified/Model) extended to your designation.

 

The service certificate is to be issued to all employees.

Model Standing Orders: 

13.        Termination of employment:(3)       Where the employment of any workmen is terminated, the wages earned by him and other dues, if any, shall be paid before the expiry of the second working day from the day on which his employment is terminated.

16.  Certificate on termination of service.--Every permanent workman shall be entitled to a service certificate at the time of his dismissal, discharge or retirement from service.

 

NOTE. - There is a provision under  this  Act for issuing a service certificate at the time of  dismissal, discharge or retirement and every person is entitled to take such certificate.

 

 

 

>> PF a/c slips/annual statements are issued by EPFO to employer and are to be supplied to all employees.

Declinature and refusal to attest PF forms is cognizable offence. The designated HR person is duty bound to attest the PF forms and submit in concerned PF office in 5 days and is duty bound to supply the acknowledgment issued by PF office (for you) to you. Whenever you submit PF forms you may attach a covering letter and demand the acknowledgment by redg. post only and affirm that if company demands in writing you are willing to supply the postage prepaid self addressed envelope for sending the redg. post to you.

It is always better to keep the PF account regular form min 10Y and be eligible for pension, and there are many other benefits too.

If you have decided to transfer the PF a/c to new employer you need not to go to previous employer and can submit the PF forms to new employer. The current employer shall send the forms. Here again the previous can not decline or delay to attest the PF forms. You need to keep proof of submission to current employer by you and by current employer to previous employer.

In case the previous employer sows tantrums you can lodge complaint thru RPFC in nearest PF office (in writing under acknowledgment) and request to depute PF Inspector and penalize the company.

After separation if you are unemployed for 2 months you can withdraw PF.

 

>> Did the company provide ESIC?

The wage ceiling for ESIC was Rs.15000/pm

>> Did the company provide FNF statement?

>>Did the company provide Form16?

You may raise your demands in writing to good offices of appointing authority, MD and request to supply you…………….within say next…………..say 7days by redg. post only.

 

>> If the good offices also do not provide any relief you have the option of issuing legal notice and approach:

Lawyer/law firm: Legal notice helps to drill sense into the heads.

Trade Unions, Inspector under Payment of Wages Act (applicable to all employees drawing wages as per def of wages in the Act up to Rs.18000/pm), Inspector under Shops and Commercial establishments Act, o/o Labor commissioner, RPFC, jurisdictional ESIC office, IT_TDS where employee files ITR and also CIT-TDS where employer files ITR, civil court……………..

You may show the job advertisement, job application, interview call letter, selection letter, offer letter, appointment letter, standing orders applicable to the company, resignation, and any other communication that you may have to a lawyer specializing in labor/service matters and proceed under the expert advice of your lawyer. The lawyer that has seen all of your docs and has analyzed your inputs in person can advice you the best.

If you are not covered as 'Workman' as in ID Act and 'Employee' as in  Shops and Commercial Establishments Act the forum for you may be civil court.


 

 

 

 

 


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