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Priyodarshini (Assistant Manager)     10 March 2014

Claims not settled by the company after resignation

Dear All,

I need a suggestion.I was working with a company called Snaaan in Delhi .I joined them on 10th January 2013.The company had no systems and I was forced to resign on 22nd December 2013.After the resignation the company is not settling my claim.Not giving my salary and my expense that I was forced to pay for them.The are not even giving me tax certificates while they have deducted the tax while paying me!I have appointment letter but no salary slips.Now they are not even responding to my emails or calls.Please help me as I have almost 35 thousand to get from them.I stay here alone with not much contacts!



Learning

 9 Replies

Kumar Doab (FIN)     10 March 2014

>>> Did this company provide you PF number, ESIC Card……………………..?

Did you resign with immediate effect or tender notice of resignation and did the company issue acceptance of resignation?

Were you under Probation or your service was confirmed in writing?

 

>>> If you are covered as ‘Workman’ as in ID Act, Model Standing Orders apply to the establishment and cover your designation, then the notice period during probation period should be NIL. You may check with Certifying Officer (CO) that may be DLC in o/o Labor Commissioner at Delhi. Employee or any one can obtain certified copy of the standing orders applicable to the establishment from Certifying Officer against a reasonable charge that may be Rs.3/page……………….

 

If standing orders are applicable but are not certified then Model Standing Orders: Sec 13, should apply and notice period in probation period is NIL.

Hence in such a case company should adjust notice pay.

 

>>>Salary slip should be issued before disbursement of wages and should be signed by both employer and employee……………( Payment of Wages Act : Sec 13A)

Even the FNF wages should be paid by last day in office, within 3 days or max. by the usual pay day.

 

The employee can lodge a complaint the moment payment of wages is delayed even if by a day. The penalty might be Rs.7500/instance.

The payment of Wages Act is a statue, has statutory force and should prevail upon any private agreement that employer has signed with employee e.g. appointment letter or a private policy that employee might have crafted

 

>>> You may refer to :The Delhi Shops and Establishments Act, 1954 and standing orders applicable to the establishment…………………….HR policy, service rules and regulations referred to in appointment letter…………

 

There are many threads on similar queries that you may find relevant e.g;

 

https://www.lawyersclubindia.com/forum/Compelled-to-leave-in-notice-period-salary-withheld-98782.asp#.Ux2TH0eBmXU

 

>>> Generically speaking you might be covered as ‘Employee’ as in The Delhi Shops and Establishments Act, 1954:

19. Time and conditions for payment of wages: (3) The wages of every employee in any shop or establishment shall be paid on a working day before the expiry of the seventh day of the last day of the wage period in respect of which the wages are payable.

You may go thru other clauses e.g;

21. Claims relating to wages

37. Powers and duties of the Inspector:

(b) Duties of the Inspector: (h) that the wages and other dues are being paid to employees in time as required under the Act;

 

30. Notice of Dismissal:

(2) No employee who has put in three months’ continuous service shall terminate his employment unless he has given to his employer a notice of at least one month, in writing. In case he fails to give one  month’s notice he will be released from his employment on payment of an amount equal to one month’s pay.

 

COMMENTS

(a) Applicability of section 30

The protection of the provisions of the section is available to all persons who fall within the definition of the term “employee” as given in section 2(7) of the Act and who have put in three months’ continuous services. In the absence of any standing orders or any contract between the employer and the contesting respondent containing any particular terms or conditions, the conditions of service of the employee relating to his employment in an establishment at Delhi are covered by section 30(1) of Delhi Shops and Establishments Act, 1954

 

{If standing are not applicable then the terms should be governed by above clause of the Act.

If standing orders are applicable but are not certified then Model Standing Orders: Sec 13, should apply and notice period in probation period is NIL.)

 

 

 

 

>>> If there is default on payment of earned wages then there may be a default on PF,ESIC,TDS etc………..

 You have the option to approach:

----Employees Unions,

--- Trade Unions e.g; CITU, AITUC, INTUC ............................


--- Inspector under Delhi Shops and Commercial Establishments Act.

The employer has to maintain and submit requisite forms and registers according to Shops and Commercial Establishments Act. If the employer makes false entries it is offence.


--- 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. 
You may refer to: Payment of Wages Act; Sec13A and 2: 3*[(i), (ia), 3*[(vi), 3, 4 ,5, 13a, 14, 15, 16, 17A, 20………….. and if the Inspector agrees to cover you may immediately submit Form’N’ for recovery of wages.

--- O/o Labor Commissioner

----RPFC thru nearest PF office

----ESTC Inspector in jurisdictional ESTC office………….

(Applicable to all employees drawing wages up to Rs.15000/pm as per def. of wages in the ESI Act)

--- Form16: ITO; TDS where you file your ITR

CIT-TDS (jurisdictional) where company files ITR

----Lawyer/Law firm

---Civil Court

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

 

Before you act further It shall be appropriate to show the job advt, job application, interview call letter, offer letter, selection letter, appointment letter, CTC sheet, Salary Structure, Salary slips, STANDING ORDERS APPLICABLE TO THE ESTABLISHMENT (CERTIFIED/MODEL) AND EXTENDED TO YOUR DESIGNATION, HR policy, Service rules and regulations, Conduct and discipline rules, resignation letter, acceptance of resignation etc …………. Communications exchanged with company to a competent and experienced Labor consultant/service lawyer at your location, give inputs in person and proceed under the expert advice of your lawyer.

 

Your lawyer may opine that limitation period applicable to you is 3years hence you should act as ap.

 

 

 

 


Attached File : 737040379 delhi shops & establishments act, 1954.pdf, 737040379 payment of wages act 1936.pdf, 737040379 model standing orders industrial employment standing orders rules.pdf downloaded: 290 times

Priyodarshini (Assistant Manager)     10 March 2014

Hi,

Thank you for the reply.Yes i resigned with immediate effect as I was forced to work after 9 pm which is after my work hours and no extra pay and also some mental harassment happening everyday!I was a confirmed employee of the organization. Yet, I they do not want to give me my salary its accepted but then MY privilege leaves and my expenses for their clients(which i have a proof) are all due.

Moreover since I come in the tax bracket and they had deducted TDS , they are now not even issuing my Tax Certificates!

Priyodarshini (Assistant Manager)     10 March 2014

The company has not provided with ESCI or PF. Neither had they given me any acceptance!And the confirmation was a verbal one because this company has no proper HR system. In my appointment letter it was written that the probation will be of 6 months and any extension or confirmation will be conveyed to the employee. So if I had resigned with immediate effects and as per papers I am in probation then my salary should be paid?  

arun singh rathore (LAWYER)     10 March 2014

Seek Legal Help. Send them Legal notice through your advocate. Case can be filed against them.What was your salary? How did you get your salary? Provide some more details.

arun singh rathore (LAWYER)     10 March 2014

Seek Legal Help. Send them Legal notice through your advocate. Case can be filed against them.What was your salary? How did you get your salary? Provide some more details. 

Priyodarshini (Assistant Manager)     10 March 2014

my in-hand salary was 30700 .They paid me through cheques and sometimes cash.The problem is if I have to hire an advocate then it will be more costly than what I owe them right?

Kumar Doab (FIN)     10 March 2014

You have posted that:

---“Yes i resigned with immediate effect as I was forced to work after 9 pm which is after my work hours” “ Neither had they given me any acceptance!”

 

---“The company has not provided with ESCI or PF.”

Def. of wages as per ESI Act can be accessed at:

 

https://www.esic.nic.in/wages.php

 

If you are covered by ESIC as per def. you can lodge complaint with jurisdictional ESIC office in writing under acknowledgment.

 

---“ Neither had they given me any acceptance!”

 

They should have.

---“And the confirmation was a verbal one because this company has no proper HR system. “

 

The verbal transactions may not be proved.

 

In my appointment letter it was written that the probation will be of 6 months and any extension or confirmation will be conveyed to the employee.”

“So if I had resigned with immediate effects and as per papers I am in probation then my salary should be paid? “

In such a case you should be deemed to be in probation period.

 

34. Employer to furnish letters of appointment to employees:

COMMENTS

The object of the enactment is to furnish an accurate proof of employment to an employed

Person……………………….

(6) Rate of wages or salary.

{ It may change on confirmation of service.}

(8) Any other concession or benefits, if any, that may be special to his appointment.

 

 

{The confirmation of service usually entails change in service conditions and therefore it should be communicated in writing. If there is no change then employer should make explicit mention of it.}

 

 

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;

 

 

{Certain benefits may be applicable to only confirmed employees}

----   “I was forced to work after 9 pm which is after my work hours

 

You may lodge OT claim immediately. If you had asked for it in office or submitted by post you may supply the copy to employer.

 

 

8. Employment of adults, hours of work: work.—No adult shall be employed or allowed to work

about the business of an establishment for more than nine hours on any day or 48 hours in any

week and the occupier shall fix the daily periods of work accordingly:

 

Provided further that advance intimation of at least three days in this respect has been given

in the prescribed manner to the Chief Inspector and that any person employed on overtime shall

be entitled to remuneration for such overtime work at twice the rate of his normal remuneration

calculated by the hour.

(a)   Mode for calculation of overtime wages

 

 

14. Young persons and women to work during day time.—No young person, or woman

shall be allowed or required to work whether as an employee or otherwise in any establishment

between 9 p.m. and 7 a.m. during the summer season and between 8 p.m. to 8 a.m. during the

winter season.

 

 

 

and also some mental harassment happening everyday!”

 

 

You could lodge complaint with women police ad women commission, employees unions, trade unions.

 

>>>  Do you have copy of resignation and its POD?

Did you handover the charge and company property under acknowledgment?

It is felt that company did not supply any communication to you claiming any loss due to unfinished tasks and to tender notice pay, liquidated damages, and to handover charge!

The employer has to supply the FNF statement [ showing payables by employer to employee (e.g: Bonus, earned wages, incentives, TA/DA, reimbursements,  leave encahsmernt, Gratuity, etc)and payables by employee to employer (e.g. notice pay)] for verification and acceptance. IN case of any discrepancy employee can decline to accept the FNF statement prepared by a designated official e.g. HR personnel/Accounts/Finance etc………and point out the variance.

You may submit the copy of resignation with copy of its POD to good offices of appointing authority, MD and mention that no task were pending when you proceeded on sick leave and resigned and you have no assets of the company to submit and also have not been asked to handover the charge during representations by phone etc!

You may also prepare a FNF statement according to you and ask to verify it and supply you the documents and payments as applicable in your case e.g; acceptance of resignation, correct FNF statement, payment of FNF dues by bank DD only, Form 16 as per correct FNF statement, salary slips for each month of employment, PF number-a/c slips for whole tenure of employment, ESIC Card, notice of Determination of Gratuity, service certificate, relieving letter, NOC/NDC etc…………..by redg. Post only.

If the good offices also do not resolve then you can approach lawful authorities and court of law.

 

Before you act further it shall be appropriate to consult your lawyer in person and proceed under the expert advice of your lawyer.

 

 All lawyers do not charge hefty fee.

The employer may yield to legal notice by lawyer, notice by Lawful authority.

Azmi Hussain (Senior Travel Consultant)     24 April 2014

Hi

This is regarding the Full and Final settlement of my company they are not providing the same. I went there so many time to clear my pf they always refuse me and said you don't have the complete documents. Even now they are asking me bank passbook which was not been issued by the bank.

Kumar Doab (FIN)     24 April 2014

@Azmi,

Full and Final Settlement: You can approach the lawful authorities as mentioned in above posts.

PF: The documents to be attached are mentioned on the PF withdrawal forms.         A cancelled cheque may be required as funds are to be transferred in bank a/c of member. Don’t forget to obtain acknowledgment of PF forms submitted by you from company under proper seal and signature with date. If it does not issue acknowledgment send PF forms, complete in all respects by redg. Post. If you are facing any difficulty seek help from elders in family.

The company has to submit PF forms within 5 days to concerned PF office and supply you the acknowledgment issued by PF office to you. Visit nearest PF office with your PF number and seek help from APFC/RPFC  if required. Check at website if your company name is added in list of defaulters………….If it is a defaulter then it might not be attesting your PF forms.

 

www.epfindia.gov.in

 

 


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