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Praveen (a)     30 November 2012

Employee dismissed case

Hi,

I was not in the office for one and a half months then I intimated my company(MNC INDIA) that I am on LWP(Leave Without Pay). They requested me to report to the office but because of my conditions I was not able to go. They emailed and posted me again and again and to their reply I told them I cannot come. At last they decided to "Dismiss" me from the company.

So now they are demanding me BOND money(as I was a fresher 1.5 years ago) and in reply I have demanded my dues and certificates from them.

1) Now the question is "One-Sided BOND is illegal in INDIA" as I have read in lots of articles on internet, could somebody help me to tell what section of Indian laws says this ?

2) The company has DISMISSED me and I haven't left the company, So doesn't iit means I am "FIRED". If yes then how can they demand me for the BOND money(even though it is not legal and right) ?

3) Whether I will get releiving letter or not ? Relieving letter has nothing to do with the BOND but then also in INDIA most of the IT companies don't provide releiving letter if bond money is not given. Isn't it illegal and wrong ?

{

4) In th Charge-sheet-cum-Dismissal they have mentioned "Under the circumstances, you are hereby charged for the following misconducts unser the karnataka Industrial employment (Standing Orders) Rules framed unser the Industrial Employment (Standing Orders) Act 1946 :

3(a) Willful insubordination or disobedience, whether alone or in combination with others, to any lawful or reasonable order of his supervisor ;

3(e) Habitual absence without leave or absence without leave for more than ten days;"

}

I was working in Pune and they have charged me from karnataka. What will be the effects of the 4th point ?

 

Please help me out with these questions.

Thank you 



Learning

 15 Replies

Chindam Damodar (Lawyering and Advocacy)     30 November 2012

Approach a advocate and explain him with out any hesitation with facts what was gone over there and send them a legal notice ok

Kumar Doab (FIN)     30 November 2012

The state of Karnataka has ended the blanket exemption granted to IT companies.

Your company has probably quoted model standing orders as it might not have framed certified standing orders.

It is not clear why you were not able to report to office?

If you were unwell or occupied did you submit leave application?

Did the company decline to sanction the leave?

You may read the various sections including 14.

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.

14.  Disciplinary action for misconduct

(3)   The following acts and omissions shall be treated as misconduct.

 

3{a} and 3{e} and other conditions are given therein.

 

[1][(4)

[2][(6) (a) A workman aggrieved by an order imposing punishment may within twenty-one days from the date of receipt of the order, appeal to the appellate authority.

 

 

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.

 

The company might have expressed in appointment letter that jurisdiction for disputes shall be HO of the company.

By citing and invoking IESO the company has accepted you as a workman.

You may show the appointment letter, standing orders, charge sheet, inquiry report, dismissal order to a competent and experienced labor consultant/service lawyer and proceed under expert advice of your lawyer.

Pune is a big city and you should be able to access a good competent and experienced labor consultant/service lawyer

 


Attached File : 1017667097 model%20standing%20orders.doc downloaded: 139 times

Praveen (a)     30 November 2012

Hi Kumar,

 

Thanks for your reply.

I am unable to download the attachement 


Riyaz (Business Unit Manager- Domestic)     30 November 2012

Dear Sir, 

I am Riyaz, I was employed with a Consulting Company in India, from August 2011, I was assigned as a Business Unit Manager-Domestic, I was the 1st employee in the domestic team, and I have sett-up the entire business unit ,after my 6months of my employment, I was given a confirmation letter. During last week of August 2012, I am told that, because of not brought Profit to the business I am terminated, I requested them to give some time, but later September 2012, 24th Iam asked to leave the company.

I was expecting my Full & final settlement, on 1st week of October-2012, I am given a Salary Settlement Cheque, I had returned the Settlement cheque, because the settlement amount was calculated wrongly, later the payroll service provider shared me the settlement calculation sheet, and was send to approval to  the employer, after a constant follow-ups, last week I am told that they are not making settlement. I was surprised and went to the ofice yesterday to meet the Managing Director, he told me taht since I am not brought in Profit to the businesses and coming to office late regulary, I am not making your settlement,  I insisted them to give those details in written they refused to do so.

Also, the employer is insiting me to come legally. I am clueless, whether I can legally win this case. I have my offer letter which contains only my salary details, employment confirmation letter, and the releaving letter.

I am awaiting for your kind revert.

Riyaz

Sudhir Kumar, Advocate (Advocate)     01 December 2012

what do you mean by  "Charge-sheet-cum-Dismissal" Either it an be chargesheet or it can be dismissal order.

Praveen (a)     01 December 2012

They have mentioned "Charge-sheet-cum-dismissal" as heading.

Kumar Doab (FIN)     01 December 2012

@Praveen,

Model standing Orders are attached.


Attached File : 157654036 industrial employment standing orders ruels 1946.pdf downloaded: 139 times

Kumar Doab (FIN)     01 December 2012

@ Riyaz,

Kindly always start a new thread.

You have posted that:

--“I am given a Salary Settlement Cheque, I had returned the Settlement cheque, because the settlement amount was calculated wrongly,”

You should not have returned the cheque. You could have mentioned in writing under acknowledgement to employer that the calculation is wrong/FNF statement is not supplied/FNF statement is wrong and you have received the cheque under protest.

Employee should always consult elders in the family, competent and experienced well wishers, lawyer/law firm before acting in haste. The matters on which employee does not have adequate information and knowledge should always be discussed for clarity as employers are known to exploit ill informed employee.

You should not have submitted resignation with immediate effect. You could have tendered notice of resignation and served notice period. Company might have adjusted notice pay in FNF statement/ Salary Settlement Cheque.

--“ later the payroll service provider shared me the settlement calculation sheet, and was send to approval to  the employer,”

The employer has to send the correct FNF statement, even if employer has hired some payroll service.

Submit a gentle representation by letter under acknowledgment thru redg. post, addressed to good offices of your appointing authority, MD, Company Secretary with a copy to Head-HR,and mention that you have submitted your resignation dated……….and you have not received till date…….. acknowledgment and acceptance of resignation, FNF statement/settlement, payment of your dues, work experience/service certificate, Form 16, relieving letter, PF number, PF account slip, attested copies of PF withdrawal/transfer forms for submission to PF office by you { you may submit the forms for attestation by employer}, NOC/NDC etc and all of these documents and payment of your dues by bank DD only may be supplied to you thru redg. post only and a postage prepaid { as purchased from PO} self addressed envelope is enclosed herewith for sending the reg. post to you. You may narrate all representations made by you so far. You may mention that you were asked to tender your resignation.

Submit reminders and mention that reply, payment, documents be supplied to you by redg. post so as to reach within next 7 days.

Based on the reply of the company you may proceed further.

You may avoid emails, reply by phone calls if possible.

Usually only competent senior management is empowered to sign on letterhead of the company and junior HR executives send emails. HR has to adhere to instructions issued to it verbally or in writing.

The bone of contention seems to be reliving letter and FNF settlement. If this is the only leftover part of the incidence you may apply your reasoning/persuasion/persistence/negotiation skills with HR and obtain reliving letter and FNF settlement and documents and close the matter here for the time being. Litigation can be stressful for some employees. Litigation takes time.

As per IESO Act {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 certificat

 

In a given situation employee can approach trade union, and/or invoke the provisions of ID Act, IESO Act, Payment of Wages Act, SE Act as per explanation of employee under the provisions of these enactments or approach civil court. Designation alone does not decide that employee is a workman or not.

It shall be appropriate to approach a competent and experienced service lawyer/labor consultant with copies of all of your documents and give inputs in person and proceed under expert advice of your lawyer. It shall be good if your lawyer/elders in the family/trained legal mind amongst your near and dear ones draft your reprsentations to your employer. Your lawyer shall evaluate the merits and may opine that you fall within the category of workman.

Company may yield to legal notice of your lawyer or you may have to agitate in the appropriate forum. Company may yield to your demands during conciliation proceedings in o/o ALC or the ALC shall issue reference to Labor Court.

 

Kumar Doab (FIN)     02 December 2012

@Praveen,

Mr. Sudhir Kumar has given valuable advice.

Kindly scan and attach the "Charge-sheet-cum-dismissal" letter in this thread.

You may erase the name etc to maintain the confidentiality.

Or you may show it to your lawyer and proceed under expert advice of your lawyer.

Sudhir Kumar, Advocate (Advocate)     02 December 2012

when chargesheet is issued then the penalty is nowhere to be discussed as the employer is at that stage not expected to be aware as to whether at all the employee is guilty.  The employee availas the opprtuinity of defence which starts from chargehseets and ends with the inquiry and if found guilty after the procedure then only penalty is ordered.

 

You have stated that "They have mentioned "Charge-sheet-cum-dismissal" as heading.
"In this case it appears that they have issued penalty order without inquiry which is ultravires.

 

You time of appea has started.

Praveen (a)     09 March 2013

Hi Kumar Doab,

I am in a great trouble. I have just received a letter from INDIALAW company which is connected to the my company and which handles the claims for them. They are saying pay the money otherwise they will assign an advocate as arbitrator. What should I do ? I am unable to chat with you here as I am a basic user. If you allow can I connect with you on gmail ?

Thank you.

Kumar Doab (FIN)     09 March 2013

 

Kindly approach a competent and experienced labor consultant/service lawyer/law firm specializing in such cases,  as ap, with elders in the family and show all of your documents including bond, standing orders of the company as cited by the company, appointment letter, charge sheet cum dismissal letter, legal notice by law firm etc... and give inputs in person and spend some quality time with your lawyer/law firm. Don’t conceal anything from your lawyer.

If company has certified standing orders in place these should be displayed at notice board and certified copy should be provided to employee against nominal charge say Rs.10/-

If standing orders are not certified, model standing orders shall apply.

Don’t panic.

It is time to seek professional advice in person, one to one from a competent lawyer.

On line discussions have its own limitations.

Has the company inserted clause on arbitration in bond and appointment letter?

Your lawyer may opine that bond is in violation of standing orders of the company, SE Act of the state or the bond is unconscionable, unenforceable, void, illegal……….and your lawyer may send a fitting reply to the legal notice sent by the company…..

 

If you wish to avail the services of LCI lawyer you can conduct search at:

https://www.lawyersclubindia.com/lawyers_search/#.UTslpErxHvo

Related lawyers list is being displayed by LCI at the bottom of this web page.

Your near and dear ones can also guide you to a competent lawyer/law firm.

You may find the attachments useful.

Valuable advice of learned experts/members useful.


Attached File : 288600535 417759075 validity of employment bonds.pdf, 288600535 background paper.pdf downloaded: 68 times

Praveen (a)     09 March 2013

Thanks for your help!!!

I will keep you updated on my status.

Kumar Doab (FIN)     09 March 2013

@Praveen,

You may keep on posting in this thread as long as you want but this may not end your problem. Your company probably understands you thoroughly and is playing its cards well.

Companies would know which employee will finally bend and plead for settlement.

If the company is determined one fine day you may have to be in court.  

One legal notice has perturbed you enough. The advocate of the company won’t wait for you forever. The decision of the arbitrator appointed by company obviously shall be in favor of the company.

Neither had you mentioned from beginning that the bond signed by you contains a clause on arbitration nor you have attached copies of your documents like bond, appointment letter…….

Neither had you followed the advice of Mr. Damodar to approach a lawyer nor had you followed the advice of Mr. Sudhir Kumar to attach the copy of charge sheet cum dismissal order.

In your kind of Industry it is always appropriate to have to access to a lawyer and always proceed under advice of the lawyer.

Why don’t you act and throw them off your neck.

If you feel that you can handle the company on your own without a lawyer, do that.

Get rid of this baggage and focus on your future ventures.


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