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SG_2005 (Business Head)     28 April 2014

Cheating by employer as standard practice

Hi, am currently working with a start-up company in gurgaon, haryana. I've been trapped by multiple intentional wrong/illegal practices. I was working for over 5 yrs in a large corporate organisation befor joining my current employer. The sequence of events/details are as follows :

--> I was sent an LOI (letter of Intent) on e-mail, which mentioned the department, CTC, etc. The CTC amount was followed by "the break-up of the same will be mentioned on the Appointment Letter"

--> I was told verbally that the notice period in my employment would be of 3 months (same as with my previous employer)

--> In my previous employment, I had Corporate Medical insurance. As verbally told to me, same facility was not available here. I was verbally promised that incase a need arises within the next 12 months, the company would bear all medical expenses, for myself and immediate family -wife and kids. (Since I'd sffered a Heart Attack and had undergone angioplasty 7 months ago, I would not have been given Insurance Cover under a private policy for another 1 yr atleast.) Before joining, I'd informed of my medical history on e-mail.

--> Upon joining, despite various follow-ups, no Appointment Letter has been issued till date (8 months since).

--> After receiving my 1st "salary", i was shocked to know that I've been hired as a contractual consultant, wherein, the amount of salary paid was calculated @ CTC divided by 12 minus 10% TDS. Further, the payments have always been done through cheque, instead of account transfer. This has had a severe implication on my capacity to get credit/loan from banks

--> The company has aprox. 40 people employed, however, the story is the same for everyone - hired as contractual consultants (without any clarity before joining), no appointment letter issued or contract signed, payment by cheque, no TDS certificates issued till date for FY2013-14 (till Apr.end) ...am not aware of the previous FY. ....there is not a single "employee"

--> My profile and pic is also available on the company's website (mentioning the designation as "Business Head"), if that's any useful evidence.

--> Last month, my 5yr old son was admitted in Hospital/ICU for Kawasaki Syndrome, however, despite many requests, no re-imbursement was given for the hospital expenses (aprox. 1 lac) as per the promise before joining.

--> Infact, I was again assured (while my son was in ICU) that the entire hospital bill would be re-imbursed within a fortnight. I was even pressurized to do 3 outstation visits for some critical work assignments during this period. I have evidence of my visit dates (coressponding medical papers for same dates) on e-mail, which I'd done against my wish and without being in the right mental condition, as getting the re-imbursments was very critical for me.

--> Now in view of recent unavailibility of sufficient business/ revenue in my vertical (Business avaibility is out of my domain of project delivery) , I'm suspecting that my services would be terminated anytime.

--> The last few people to be relieved have either been given 1 month salary or nothing. I therefore believe that same will be done with me. They would surely neither pay me the promised 3 months compensation nor re-imburse my son's overdue hospital bills

Pls advise the legal re-course that I have/should undertake ?



Learning

 1 Replies

Kumar Doab (FIN)     29 April 2014

Such companies are covered by Shops and Commercial Establishments Act of the state.

The Redg. Office of the company is in which state; Delhi or Haryana?

 

 

It seems that you have transacted your negotiations   mostly by email.

What is the post advt in job advt, designation applied for by you in job application, designation offered by offer letter to you: Consultant, Business Head?

Does all affected employees agree to stand as a witness to each other?

Your photo on website can be deleted any time! Can you prove that it was there from………….to……………… 

Hope you have saved screenshots with dates and have sent from one email to another so as to keep record and same is done by other affected employees as well.

 

You have posted that:

""the break-up of the same will be mentioned on the Appointment Letter"'

Here LOI does not  indicate 'Contract' but appointment letter.

Despite the statement in LOI no 'Appointment  letter' was issued.

NO Contract was issued.

No Break up was issued.

After a month a payment was made. Has the break up of the payment been issued along with cheque?

Have you submitted any communication in writing under acknowledgment?

 

>>> If the company is registered in Haryana:  Haryana follows:

- Punjab Shops and Commercial Establishments Act. You may go thru it

e.g;

Sec;2(iv,vi,vii,viii,xiv,xvi,xxvii),

{(vi) “employee” means a person wholly or principally employed in, or in connection with, an establishment, whether working on ermanent, periodical, contract....................}

 

3, 20(1,2A,3,6), 32,

-THE PUNJAB SHOPS AND COMMERCIAL ESTABLISHMENTS RULES, 1958

Sec:5(1,2,3,)

Form: B,C,D etc...............

 

>>> If the company is registered in Delhi:

Delhi Shops and Commercial Establishments Act

 

34. Employer to furnish letters of appointment to employees.

Failure to issue appointment letters under section 34 of the Act to the employee

amounts to ‘unfair labour practice’ resorted to deprive them of the benefits which accrue

to them due to the length of their service; Bharat Mudranalaya v. Workmen, Delhi

Gazette, dated 7-5-1970 (IT).

You certainly need to spend quality time  with a competent and experienced labor consultant/service lawyer.   

YOU can access lawyers par excellence in Gurgaon, Delhi.

There are lawyers who write in this forum and others suggesting to hire workforce as ‘Consultants’ and thus there shall be no liability on employer as experienced by you also……………………..Stay away from such lawyers.

There are lawyers who prefer to orient their practice and take up cases of Employers. Some of them may frankly decline to take up your case.

There are lawyers who prefer to orient their practice and take up cases of Employees.

Prefer such lawyers.

 

Employees unions and Trade Unions are very strong in Haryana and the leaders know precise ways to handle such matters.

 

You have initiated Other thread at;

 

 https://www.lawyersclubindia.com/forum/Cheating-by-employer-as-standard-practice-101539.asp#.U16Z2keBmXU

under criminal law.

 

You may approach a lawyer specializing in criminal law.


Attached File : 920774982 haryana the punjab shops and commercial establishments act and rules.pdf, 920774982 delhi shops & establishments act, 1954.pdf downloaded: 127 times

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