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Jeneef Joshua (Asst. manager)     15 September 2012

Full and final settlement due by employer for more one year

Dear Legal Experts,

I worked for a Delhi based e-learning company in its Chennai office for 3 years. I got releived from the company on 30th june, 2011 after serving a notice of 20 days. As per the clause present in the appointment the notice period is 30 days by both parties or cash compensation in lieu of it. I completed all releiving formalities.

At the time of releiving i was told that i will get my work experience certificate & full and final settlement in about three months time. But the promise was not upheld. After repeated reminder mails to my ex-bosses both at chennai office and the HO, i was sent a work ex letter thru mail on May 7th,2012, after nearly one year of releiving.

In the same mail there was a calculation done for my F&F settlement adjusting for the 10 days cash compensation of the notice period (i gave a notice of 20 days for a 30 day notice period and agreed to compensate for the rest 10 days thru my compensation). I was asked to acknowledge the same and provide an address where the F&F cheque can be couriered. I did that.

Its been 4 months after that and there was no reply from their end. When i contacted the HR at the HO again this month on sep 4th, the HR dept. replied that the they have cleared the payments and it is now pending with the management (finance dept. i guess) for approval.

My money is with the company for more than a year now and i have lost interest on that. I have also gone thru a lot of trauma in sending them reminders after reminders. What is the appropriate thing to do now. Can i initiate legal action against the company? If so how? What may be the consequences? Kindly give me your suggestions.

Thanks in advance.



Learning

 3 Replies

Kumar Doab (FIN)     15 September 2012

You have posted that:

--"When i contacted the HR at the HO again this month on sep 4th, the HR dept. replied that the they have cleared the payments and it is now pending with the management (finance dept. i guess) for approval."

Is this statement of HR is verbal or in writing?

Employee should record such transactions{audio/visual}. Try to get this reply in writing.

You may submit a written representation under acknowledgment addressed to good offices of your appointing authority,MD,Chairman,Company Secretary narrating the full incidences, inordinate delay,loss of revenue,hardships faced by you, date wise including all telephoen calls, email etc, and highlight that on dated.........you called from phone number.........at phone number.............Mr/Ms........designation.......dept............address.........and Mr/Ms.....stated that the HR has cleared the payments and has submitted the details for dispatching bank DD for Rs..........favoring you.........payable at...........by registered post on dated.............however till date you have not received the bank DD, implying that bank DD has not been prepared.You may mention that you are enclosing a postage prepaid self addressed envelope for sending the payment of amounts due to be paid by company by bank DD only thru redg. post only to you and request the good offices to dispacth the same within next 7 days.

--"provide an address where the F&F cheque can be couriered."

Unscruplous employers are known to adopt tactics and claim that cheque was sent/ courier was not delivered , address was wrong...............

Hence demand payment by bank DD thru redg. post only.

In a given situation employee can invoke the Industrial Employment standing orders Act, Payment of Wages Act, SE Act, and ID Act as per explanation of employee under these Enactments or approach civil court. Designation alone does not decide employee is a workman or not. You may check if Industrial Employment standing orders Act is applicable to your industry, and had company extended standing orders to your designation. If certified standing orders are not framed model standing orders shall apply.

if good offices also do not provide relief you may approach a competent and experienced labor consultant/service lawyer.Your lawyer may prefer to issue legal notice.

M.S.R.Murty ( Manager (Admn))     15 September 2012

Dear Mr.Jeneef,

Did you get your releaving certificate from the Company after your resignation?

Kumar Doab (FIN)     15 September 2012

Mr. Murthy has made an imp obervation.

you have posted that:

"i was sent a work ex letter thru mail on May 7th,2012, after nearly one year of releiving. In the same mail there was a calculation done for my F&F settlement adjusting for the 10 days cash compensation of the notice period."

Company has already supplied you work experience certificate and FNF statement by email and has adjusted notice pay in FNF statement.You may demand hard copy of the work experience certificate,FNF statement, relieving letter.

Did you find the statement correct and accept the FNF statement? If you have supplied the acceptance and your address nothing is pending at your end.

Did you sign any bond,service agreement,non competence agreement,etc and did you breach any ?

You may seek relief from good offices first.


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