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ncbsnc   06 January 2018

Legal action against employer for ill-legal termination

Dear learned Members, 

I was employed in a commercial enterprise (financial services) in Mumbai. We were about 7-9 employees only. I will try to list events as they happened so its easy for learned members to evaluate the scenario and suggest a course of action. 

-After 4 years of service, my company terminated my employment on the phone without serving me a notice of 30 days which was stipulated in my employment contract. They further said I did not need to attend office from that day. 

- 5 days after the telephonic intimation, the secretary of the office sent me a mail requesting for my resignation which she said would ensure release of my dues (15 days salary of that month) and to handover the company phone.  I did not give them a resignation and I requested them verbally to  serve me a proper 1 month notice. The company declined and said I had to serve my resignation. 

- A few days later I replied to their email saying i would hand over the phone shortly.  Thats all i did not say anything else. 

- A reminder was sent again after 15 days by the company to me to finish the formalities. I did not respond to the email but i called the company and expailed that i would not resign and that they had to terminate me as per provisions of my contract. ( this was obvious as i was not the one intending to leave the job) 

-  5 months passed and I made contact with the Company on phone to settle my dues i.e 15 days salary plus 1 month notice period salary. The company declined and said they would only pay 15 days salary. They even stated stated they may not pay me even 15 days salary as they had closed accounts. 

-I threatened legal action and the company again sent  me a nice message requesting me to come to office and settle my dues. I did not go as i knew they were only trying to cover their track by sending these mails(in case i went legal) so they could prove they were the ones asking me to settle and that I was the one unwilling to do any settlement. 

- 6 months from my termination, I discussed the case with a lawyer and sent a legal notice to the company for termination of my employment. I also sought monetary compensation as i had no job for several months due to the lack of proper release papers which had diminished my prospects of seeking a new job. 

- The company's legal counsel replied to the notice stating that I had absconded and not reported to work for 120 days and therefore, as per my employment contract, my employment stood terminated. This, in fact when the company did not even maintain attendance ledger for employees. Further, they also accused me of not returning company property(phone) and threatened to file a suit against me for criminal breach of trust . 

- Upon receipt of their notice, My lawyer suggested that I do not worry and to proceed with a legal suit against the company. It was at this time that due to a family emergengy all my financial resouces got tied up. I was left with no spare money to pursue legal action in court against my employer. I had to drop the idea due to severe cash crunch. Since then there was no communication between me and the company. 

The situation now..

- It has been 3 years since my termination. I am financially much better off and have the resources to pursue legal action against the company. 

-The company had been deducting Provident fund and had not even given my PF number. I had to file RTI with PF office and get my details

- The company has not provided me form 16a after deducting TDS on my salary. Upon verbally requesting it, i was told that i would get it only when i gave my resignation. 

-Can i still pursue a legal action against the company for wrongful termination of my employment and seek my dues owed to me i.e 15 days salary plus one month's notice period money?

-Since they claim that I was absconding for 150 days which led to my termination, would be not imply that they owe me a salary for this period? Specially since there is no explicit clause dealing with payment of salary if the employee is absent for work for 150 days?

Here is the clause from my contract :- "  Notwithstanding the provisions specified in Clause 11 a) your employment may be terminated summarily by COMPANY:- 
> i)          if you have been absent from work for more than 150 days  (whether consecutive or not) due to sickness or injury, in any period of 52 weeks."

- There is no time bar for settlements of disputes etc in my contract. So am I right in assuming I can pursue legal case even after 10 years??

- My contract also says that it is "subject to Indian law and non-exclusive jurisdiction of Indian courts".. Does this mean that I can file a case against this company in any city/town and not merely in Mumbai???? 

 

I know this is a long post. Just wanted to be as clear as possible. I will appreciate all feedback. 

Thank you

PS: I merely do not want to harass or pursue legal against this company for money. But I feel that companies have no moral values and it is time they learn to treat each individual with due respect and honor commitments they make when they sign the employment contracts. Their actions affect lives of people and therefore they have to act in responsible ways. 

 

 

 

 

 



Learning

 5 Replies

ncbsnc   07 January 2018

Drawing attention to a point I made above :-

"The company's legal counsel replied to the notice stating that I had absconded and not reported to work for 120 days and therefore, as per my employment contract, my employment stood terminated"

Above is a false and my company's director has signed on this reply/notice that was sent by their lawyer to me. 

Can he be sued personally for mis-stating facts? 

 

Sudhir Kumar, Advocate (Advocate)     08 January 2018

You hve not clarified which phone you were required to hand over and whether you actually handed over.

Sudhir Kumar, Advocate (Advocate)     08 January 2018

You have not been given PF number and PF was decuted and you filed RTI in PF office but you have not stated what information you got from PF office.

 

whether your PF has been deposited or not.

Sudhir Kumar, Advocate (Advocate)     08 January 2018

Regarding Form 16.

 

Resignation is no pre-condition for denying F/16.

You have not intimated whether any Income tax was deducted from salaryand whether the same is deposited in IT Deptt.

ncbsnc   08 January 2018

Mr, Sudhir Kumar, Thank you for your reply, 

The handset was not handed over to the company as per instructions of my lawyer who said I could hold it since the company had not served me a termination notice. The company had disconnected the connection/service soon after my termination

The PF was deducted and all monies were deposited into my PF ac. This I only got to know from the statement I received after filing RTI.

Income tax was deducted and deposited with the government. There were no issues with respect to this except the company did not give me a form 16. 

 


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