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Abhishek Chitre   01 July 2015

Threat to not to provide experience letter

Hello All,

I am Abhishek Chitre and work in Pune,Maharashtra. I work in a KPO based in Pune. I have joined this organisation on 3 Nov 2014. Now I have resigned in this org as I have got good offer. Now my current company is asking me to pay INR 75000 otherwise they will not give me experience/relieving letter. I have told them this is against Indian Labor law and you cannot force me to pay but they are still forcing me.

On my offer they have mentioned "The company significantly invests in you by providing you with a platform to develop your skills and competence. You agree with company that on resignation or leaving the services of the company before the expiration of the employment period of twelve months, you shall be liable to pay the company agreed liquidated damages being sum equivalent to the total expenses of INR 75000" and since this is written on a offer letter anyways I have to accept it otherwise I would have not got this job.

As they mentioned in the above language "significantly invests in you by providing you with a platform to develop your skills and competence" then I want to tell you that they have not invested a single rupee on me for any training. Training was given to me by their internal staff and by my team members.

Please advice is this correct as per Indian labor law or not, if not then what I can do?

Regards

Abhishek Chitre

9168234574

 



Learning

 10 Replies

Kumar Doab (FIN)     01 July 2015

The demand of monies and threat of non issuance of service certificate is verbal or in writing?

Have you recorded it (audio/visual/witnessed/minuted)?

The service agreement was drafted on the grounds of some enhancement of skills and competence and investment for it and as per you no investment was made and no such enhancement was achieved.NO certificate of any course from any rcognised Instt. sems to have been provided.

 

The training pertaining to products, systems, policies,startegies, etc is to be provided by employer to employee without any cost so as to enable the employee to handle the counters of employer.

 

Are you a member of any employee's/trade unions e.g. CITU/INTUC/AITUC/BMS etc?

 

Shiv Sena had floated a union for IT/ITeS Employees.

 

Have you submitted notice of resignation or resignation and has the company issued acknowledgment and acceptance and FnF statement showing the payables by it and payables by you and net amount to be paid by either employee or employer?

Have you handed over the charge/asets and obtained acknowledgment and NOC/NDC?

 

 

 

Abhishek Chitre   01 July 2015

Hello Kumar Doab,

Thanks for your suggestion.

However, non issuance of service certificate is verbal. No I have not recored it because phones are not allowed at workstation.

No, there was no such certificate has been provided from any institute. Training was provided to me regarding my process or to start day to day activities and nothing else.

No, I am not a member of any employee's/trade unions e.g. CITU/INTUC/AITUC/BMS etc even I haven't heard about these things.

Yes I have already resigned from my services any serving notice period and also this has been accepted and acknowledged by the employer as well. Moreover, FnF amount statement has not yet been generated.

There were no charge/asets pending on me like laptop/blackberry phone/loans nothing.

Reards

Abhishek Chitre

slakshmanrao (accounts officer)     01 July 2015

If the signed copy of the agreement is with the organisation concerned,the procedure laid down has to be followed...

Abhishek Chitre   01 July 2015

But there was no stamp paer and all...this is mentioned on the offer letter itself..

Kumar Doab (FIN)     01 July 2015

 

If you have not recorded by other means then as already posted employee can build record be submitting minutes from person email id/letter thru redg. Post, communication thru unions!

You have posted that: ‘Training was provided to me regarding my process or to start day to day activities and nothing else.’

Training for day to day activities should not entitle the employer to claim any liquidated damages and any such service agreement/liquidated damages may be dumped as unconscionable, illegal, unreasonable,VOID.

 

If you have not even heard of employee’s/trade unions/IC/GRC/Works Committee then you have grossly erred and that is why you are ill informed and non supported and hence taken for a ride by employer and its cronies in Line Management and HR , legal cell etc.

If resignation has been accepted and no damage is claimed and no assets/charge is to be handed over, NO Tasks are pending then minute these with help of your counsels (under proper acknowledgment) and since no liquidated damages is applicable minute it with help of your counsels and claim that nothing is pending at your end and hence you should be supplied with correct FnF statement (showing computation of earned wages/bonus/OT/leave encashment/reimbursements/incentives etc) and FnF payouts by bank DD, service certificate, relieving letter, Form16 as per correct FnF statement, NOC/NDC, PF number and a/c slips,ESIC card etc………..thru redg. Post immediately.

 

You should provide full information, pointwise to above and following points!



What is this establishment registered as: Commercial,Industrial?


What is its line of business:IT,ITeS,banking etc?



How many maximum persons are employed in it at any point of time?






The Redg Office,Corporate Office of the company, and your reporting office was located in which state?



What was your designation and nature of duties?


Do you have leave policy, HR policy,Service Rules and Regulations,Conduct and Discipline Rules, Exit Policy that are mentioned in the appointment letter?



What was your monthly salary? Do you have salary slip of all months?

 

Does company have its certified standing orders and is your designation covered by it? Or Does Model Standing Orders apply to it?




Was any appointment letter, salary slip of each month, PF number with a/c slips,ESIC card,Form16 given to you?


Did you tender notice of resignation? If yes of how many days?


Did mention NO tasks are pending at your end and to whom you should handover the charge?





 

slakshmanrao (accounts officer)     01 July 2015

An Offer becomes a contract on acceptance.Having entered into a valid agreement for a specific assignment,the norms need to be followed.

Abhishek Chitre   02 July 2015

Hello Kumar Doab,

Could you please give me your email id so that I can share my offer letter with you? Also please find my below answers to your questions.

Quest :What is this establishment registered as: Commercial,Industrial?

Ans: Its a KPO. service provider company to bank.


Quest: What is its line of business:IT,ITeS,banking etc?

Ans: Banking 

Quest: How many maximum persons are employed in it at any point of time?

Ans: Aorund 10-12 people have joined with me on 3 Nov. Well I dont know how many maximum persons are employed in at any point of time.

Quest: The Redg Office,Corporate Office of the company, and your reporting office was located in which state?

Regd Office and Corporate Office: Mumbai

Reporting Office: Pune

Quest: What was your designation and nature of duties?

Ans: I am a Senior Analyst

I do trade reconciliation, affirm deals with counterpaties, get the trade confirmation signed from counterparties.


Quest: Do you have leave policy, HR policy,Service Rules and Regulations,Conduct and Discipline Rules, Exit Policy that are mentioned in the appointment letter?

Ans: Yes we do have all these policies.

Quest: What was your monthly salary? Do you have salary slip of all months?

Ans: 29 k, yes I do have salary slip of all months

Quest: Does company have its certified standing orders and is your designation covered by it? Or Does Model Standing Orders apply to it?

Ans: Certified standing order and my designation is covered by it.but yes in myoffer letter its mentioned that I have to serve 45 days notice period.


Was any appointment letter, salary slip of each month, PF number with a/c slips,ESIC card,Form16 given to you?

Ans : I do have appointment letter, salary slip, PF number, FORM 16. But I dont have ESIC card.


Did you tender notice of resignation? If yes of how many days?
Ans: Yes I did, 45 days ( as per company norms for Senior Analyst)

Did mention NO tasks are pending at your end and to whom you should handover the charge?

Ans: Accept this Rs 75000  nothing is pending. Unless I pay this amount they will not give me sign off and without sign off I wont get relieving letter for which they are threatning me.

Another person has been hired and I will handover my work to him. 

Kumar Doab (FIN)     02 July 2015

Don’t expect any relief from HR and Line Managers, Legal cell personnel. They have to subscribe to orders of their masters and defend their interest and job and may not provide any relief to you.

 

Don’t remain entangled with them.

 

You have posted that:

 

----“ Quest :What is this establishment registered as: Commercial,Industrial?

Ans: Its a KPO. service provider company to bank.”

 

You have not been able to answer the basic questions that any and every employee should know the establishment with which one is working and further the Dept/Div/Reporting office is registered as Commercial, or Industrial!!!!!

 

Had you been a member of unions you would have known not only this but how to handle your problem and unions would have supported you also.

KPO’s are otherwise covered by Shops and Commercial establishments Act.

In your case being located at Pune it shall be Bombay Shops and Commercial Establishments Act.

 

You may go thru Sec;38-B, 66…………….

The notice period as per the Act is max. 30 days that too as per length of service.

The standing orders are applicable of establishment employs 50 or more employees, and if standing orders are not certified Model Standing orders shall apply.

Model Standing Orders; Sec13-18…………..The notice period after confirmation of service is 30 days and before confirmation/during probation period is NIL.

 

This Act shall prevail upon any private policy or rule or any agreement drafted by employer and signed with employee e.g. HR policy, appointment letter/contract of employment etc.

 

----“ Quest: How many maximum persons are employed in it at any point of time?

Ans: Aorund 10-12 people have joined with me on 3 Nov. Well I dont know how many maximum persons are employed in at any point of time.”

Once again you have not been able to answer the basic questions that any and every employee should know.

 

----“ Quest: Does company have its certified standing orders and is your designation covered by it? Or Does Model Standing Orders apply to it?

Ans: Certified standing order and my designation is covered by it.but yes in myoffer letter its mentioned that I have to serve 45 days notice period.”

You may again check if establishment applied for certification of standing orders and has Certified Standing Orders and your designation is covered by these. Standing Orders are certified on the lines of Model Standing orders (which is a statue) and after due negotiations/settlements/meetings with employee’s unions and company’s representatives with certifying officer (CO-----DLC in o/o Labor Commissioner).

Once certified:::: Certified Standing Orders become instrument of law.

Employer is under obligation and bound to display the standing orders at a  conspicuous place/notice board and supply a certified copy to employee even if against a nominal cost say Rs10/.

 

Employee or anyone can obtain the certified copy from CO against a nominal cost say Rs3/page.

 

The moment employee has resigned he/she has severed employer-employee relationship and implies has signed off.

Don’t get confused with private/internal terms used by employer/HR/Line Managers/Legal cell etc.

No one seems to demanded payment of Rs.75000/ from you and to decline your settlement in writing by a speaking order.

 

As already posted “If resignation has been accepted and no damage is claimed and no assets/charge is to be handed over, NO Tasks are pending then minute these with help of your counsels (under proper acknowledgment) and since no liquidated damages is applicable minute it with help of your counsels and claim that nothing is pending at your end and hence you should be supplied with correct FnF statement (showing computation of earned wages/bonus/OT/leave encashment/reimbursements/incentives etc) and FnF payouts by bank DD, service certificate, relieving letter, Form16 as per correct FnF statement, NOC/NDC, PF number and a/c slips,ESIC card etc………..thru redg. Post immediately.”

If anyone demands in writing then this one has to specifically mention what is the demand and how much and why and in line with what agreement and you need to just clarify that no investment has been made on you, no platform has been provided to you, and NO Training has been provided to you that added to your qualification and extra ordinary skills and to understand day to day functions, machines, processes, practices, strategies the employer is bound to provide you the support and you are not to pay for it. If employer has recruited Line Managers, HR for doing its work and supervise your work then you are not obliged to pay their salary or contribute.

 

Enough has been discussed and you must approach your counsels.

 It is almost sure that and Line Managers, Legal cell personnel won’t provide any relief to you and you should ignore the verbal demand of these fellows in office to you and escalate (under expert guidance of your counsels, preferably as drafted by them) to good offices of appointing authority, MD, Chairman etc and demand above mentioned documents.

Thereafter you can resolve the matter in your favor with your own skills or approach (under expert guidance of your counsels):

 

---The Inspector appointed under Bombay Shops and Commercial Establishments Act

---O/o Labor Commissioner

----Employee’s/Trade unions

----Your Labor Law Consultant/Service Matters lawyer/Law Firm

The chances are that your counsels with their skills may resolve the matter in your favor.

Or you or employer can approach court of law.

 

Abhishek Chitre   02 July 2015

Thanks Kumar Doab for your guidance ... will ask my employer to provide all these docs to me. Thanks again.

Kumar Doab (FIN)     02 July 2015

You are welcome.

 

Don't hesitate to approach your counsels if required.


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