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Mr. sambhav (Manager )     06 July 2012

Leave encashment - not considered in final settlement

Dear Friends,

I am new to this forum and have a specific question whose reply is being sought from the Forum. I was working as a manager in a MNC based in chennai , I have resigned from the company in Nov 2011 and I was with the company for 5 years from Sept 2006 to Nov 2011, I  resigned on 9th Nov and gave a resignation notice and since I was joining a competitor compnay the company did not want to keep me on notice period for 3 months and relieved me immediately on 18th Nov 2011.  now  It has purposely not  paid my leave encashment for 46 days. I have the record from HR stating that I have 46 days of leave in my possession. Please suggest what are the avenues for me to claim my leave encashment and under what rule.

 

Thanks,

Sambhav Joshi



Learning

 1 Replies

Kumar Doab (FIN)     06 July 2012

Earned/privileged leave can be encashed in FNF statement by the employer. You may refer to the Factory act, appointment letter issued to you, standing orders, and employee rule book/HR policy and leave rules of the company. Employer should keep the policies within knowledge of the employee. If you paid leave to your credit employer can not deny the encashment.

You may not give acceptance on the copy of the FNF statement or you may record your reservations/protest on FNF statement to be returned to company and retain a copy. You may raise a query in writing under acknowledgment to the good offices of your appointing authority, MD, Company Secretary with a copy to Head-HR, and request for a written reply.

As you had submitted notice of resignation your date of retirement was known to employer, hence on its own employer should have paid the gratuity to you in FNF settlement. You may include demand for payment of gratuity in your representation for paid leave and submit form I under acknowledgment and submit a copy of Form I under acknowledgment to controlling authority for Gratuity which may be ALC in your case.

You may go thru SE act applicable to your state.

As you had submitted notice of resignation, and if the employer accepted it before effective date of resignation, you can agitate term it illegal and demand notice pay as described in your appointment letter. The immediate acceptance might have rendered you jobless and without any source of livelihood. You may approach a competent and experienced service lawyer at your location with all records. Your lawyer may help you to structure your representations and/or may prefer to issue a legal notice.

 


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