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Arun Gautam (Manager)     10 December 2013

Gratuity

Dear Lawyers and Experts ,

One of Our Employee named XX  has filed the case for gratuity before the LO.He has calculate the gratuity on last drawn gross salary amount.We are ready to pay him on basic salary. Kindly help me to sort out the matter for following questions.

1. Employer was unable to provide salary slips and salary structure during the employment period of  XX.But pf was deducted regularly during the period on basic amount.Can it be possible to shown basic amount on behalf of pf slips.

2. He has not given any resignation in written when he left the company. Can it be possible to show him continue absence till date when he filed the case.

Please also share with me supportive case studies also.

 

Regards

Arun

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Learning

 1 Replies

Kumar Doab (FIN)     10 December 2013

You have posted that:
 
>>> “Employer was unable to provide salary slips and salary structure during the employment period of  XX.But pf was deducted regularly during the period on basic amount.”
 

The enactments e.g; Shops and Commercial Establishments Act, Payment of Wages Act, Min.Wages rules lay down clear guidelines on issuance of Appointment letter and Wages Slip that should be signed by both employer and employee and proper bifurcation of wages should be shown.

 

How can you claim that employee has verified an accepted the wages?

 

Non issuance of Appointment letter and Wages Slip may result into another complaint with concerned authorities.

 
The contention of the employee may be that less PF has been paid and you may face another complaint with PF authorities.
 
It is believed that you have not even supplied the PF account slips too.
 
The employee and PF authorities may treat the entire amount of salary as PF wages.
 
 
>>> “He has not given any resignation in written when he left the company. Can it be possible to show him continue absence till date when he filed the case.”
 

The employee may emphasize that he had posted the resignation by post.You might have not issued any notice, show cause notice for the absence claimed by you and might have not shown the separation in formats/forms/registers/service card and records.

 
 
It shall be better to educate the employer on proper adherence to statues, enactments and to maintain proper records.
 
Close the matter with this employee and issue proper appointment letter, wage slips etc to remaining employees.
 

The amount payable to this employee @ Gross Pay may not be a big amount.

 

 

 

 

 

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