I was employed with a very reputed company based in Mumbai for 2 years. After the end of 1st year, we had implemented a big project for the company. At the time of project implementation, we were promised a monthly incentive of Rs.10,000/ after the project was completed to the core team members. But soon after the project was complete, I had a better offer in hand & I jumped to my next job. I was in the old company for over 5 months after the completion of the project. The incentives at that time were post poned as there was cash crunch. Soon after I quit, the company paid the incentives to the core team. When I asked my HR for my pay outs, i was told that the company policy is that the money is to be paid to employees who were on payroll at the time of disbursal.

Is it correct policy of the company? Can i fight for the same

You have posted that:

--” I was in the old company for over 5 months after the completion of the project.” And

“The incentives at that time were postponed as there was cash crunch.’

“Is it correct policy of the company?”

Kindly clarify if the company announced the incentive in writing and is it mentioned in the policy that the money is to be paid to employees who were on payroll at the time of disbursal.”

--“At the time of project implementation, we were promised a monthly incentive of Rs.10, 000/ after the project was completed to the core team members.”

The incentive was announced to motivate the team to make the completion of project happen, and you as a part of the team made it happen.

If you look into the essence of the message you should get the payment.

Have you raised your demand verbally or in writing?

You may need to apply exceptional levels of persuasion, persistence, negotiation, reasoning skills, and drill sense into the company.

You may submit a gentle representation by letter under acknowledgment, addressed to good offices of your appointing authority, MD, Company Secretary, Head-HR.

It is believed that the matter posted in this thread is also part of the payouts expressed in another thread given below.

http://www.lawyersclubindia.com/forum/Re-Non-payment-of-salary-incentives-55117.asp

Forum Home > Labour & Service Law > Non payment of salary incentives

Thanks Kumar.

My point wise reponse is as: 

--” I was in the old company for over 5 months after the completion of the project.” And

“The incentives at that time were postponed as there was cash crunch.’

“Is it correct policy of the company?”

Kindly clarify if the company announced the incentive in writing and is it mentioned in the policy that the money is to be paid to employees who were on payroll at the time of disbursal.”

No such thing was conveyed in writing. The project in charge had announced in front of everybody. To prove this point, other members of the core team have been paid @ Rs.10,000/ per month.

--“At the time of project implementation, we were promised a monthly incentive of Rs.10, 000/ after the project was completed to the core team members.”

The incentive was announced to motivate the team to make the completion of project happen, and you as a part of the team made it happen.

If you look into the essence of the message you should get the payment.

Have you raised your demand verbally or in writing? The demand is made in writing.

You may need to apply exceptional levels of persuasion, persistence, negotiation, reasoning skills, and drill sense into the company. Have tried everything here, but there seems to be no movement on their part.

 You may submit a gentle representation by letter under acknowledgment, addressed to good offices of your appointing authority, MD, Company Secretary, Head-HR. It is believed that the matter posted in this thread is also part of the payouts expressed in another thread given below.

You may agitate in a gentle manner by letter addressed to”Project In Charge" mentioning the date of announcement of the policy by him in forum of core team, no circulation of printed version of the policy, your eligibility as per criteria with details of the revenue and profits generated by you with your performance, and payment to other members of the team, however you been having left out, with a copy to good offices, and demand reply by letter and payment by bank DD thru redg post.

You may issue reminder addressed to good offices with a copy to "Project In Charge" and demand copy of the approved printed version of the policy also along with reply and payment. You may prompt the good offices to be transparent and fair.

if nothing works you may approach a competent and experienced service lawyer with all records and give inputs in writing.

Company received a benefit from your efforts and achievements throughout the period set for completion of the project. Therefore you are also the employee due for compensation, in the form of payout as in case of other employees of the core team for your positive contributions, especially when the Company has derived a current and possibly a future benefit. You were in the company so you are the best person to conclude and highlight the current and future benefit company accrued from your efforts.

(Moreover you stayed for 5 months after the completion of the project.)

This has significance since there seems to be a dominant class in your HR whose prophesy is as the employee has resigned therefore  his past performance should not be  taken into consideration, as the incentive is paid to encourage the employee to perform better way during next year. This is the class which derive their salary from the hypothetical, unpractical prophesies and sermons and their continuance in the job depends upon formulating prophesies on how to save money by cutting payouts.

They conveniently forget and make their masters forget that once the company makes a cut in payout of one employee it affects the morale of many employees.

After all no body marries the company and company seldom marry an employee.

Bonuses and incentives are paid on past performance, not future expectations, especially where no goals have been set /negotiated for the next year.
 

Another class in HR/policy makers believes if the employee leaves after collecting the bonuses/payouts in …….years, there is no return on the investment.

You have stayed during the entire period of project and even for 5 months  after the completion of the project thus being a member of the core team you must have continued to advice/ contribute post completion of the project. Also you have worked with the company for 2 years.

It is this class which is sitting on your money and you have to defeat them.

Better shake or stir the good offices.

Kindly share the outcome in forum as it shall help many who visit the forum.

Thanks a ton Kumar !!. Your reply gives me confidence that I do stand a chance to win the case - in case the same is filed.

Do you know of any experienced lawyers in Mumbai - who can take this forward?

Thanks once again

NO.

Apply persuasion, persistence, negotiation, reasoning skills, to the exceptional levels, chase the good offices in writing and drill sense into the company. Resolve the matter and obtain your payment by stirring, shaking, good offices, and grilling the HR/personnel/line management etc. This shall be the quickest and easiest solution.

Build favorable written record. Submit structured communications. Employee should record such transactions (audio/visual).

Cajole your colleagues to provide you a copy of sheet showing the payouts in question to them. In the community of employees one should help each other. You never know who shall need whom........... and who shall come forward for whose rescue..........

Build favorable

You can conduct lawyer search at LCI portal.

Related lawyers list is available at the bottom of this web page. Your near and dear ones can also guide you to a competent and experienced service lawyer.

Related 'Labour & Service Law' Lawyers