Payment of legal dues within one month of closure
Associate R
(Querist) 12 December 2008
This query is : Resolved
Respected Experts,
I have filed a complaint of unfair labour practice against the Company at Bombay Industrial Court on closure of the company praying for interim relief to make the payment of legal dues within one month. The Hon'ble court raised a query about its power/authority to pass such order directing the Respondent to pay the dues within one month and directed me to submit case law on the point. The Hon'ble Court is very much concerned about the time period of payment and expressed its inability to pass such order in the absence of any case law. I will be greatful if anyone provide me with case law to this pont.
Thanks in advance!
H. S. Thukral
(Expert) 15 December 2008
The payment of compensation on closure of an undertaking under section 25FFF of the ID Act, is not on the same footing as that payable in case of retrenchment, where its payment should be simultaneous to sustain retrenchment orders. But in normal course the compensation in case of closure is offerred immedaitely. If it is not paid then the employee would be entitiled to interest/penality on it but it would not invalidate closure.
In view of the definition of section 25FFF, the Industrial Court would be competent and justified in payment of compensation immediately.
ARVIND JAIN
(Expert) 13 March 2009
YOU SHOULD AGREE WITH MR THUKRAL.
NO BODY ELSE TO DISAGREE WITH HIM.DONT BOTHER ABOUT THE PERSONS WHO ALWAYS & ALLWAYS AGREE WITH MR SO AND SO.
Hiralal Das
(Expert) 08 April 2009
Thanks all of you the ld. members and the author.
I think your valuable opinions will assist everybody to solve their problem/matter in question properly.
