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Priyadarshi (Project Engineer)     12 December 2012

Salary not paid, citing company policy

Hi All,


I work at a reputed IT company and I will narrate my case. I don't know how much are the labour laws really applicable for IT companies in SEZ. Please let me know if the Policy is a an unfair Policy or everything is in order.


About a year back there was a change in company policy whereby employess have to fill the effort sheet on a Weekly basis, failing which on the seventh day leave would be deducted or considered as Loss of Pay (Leave without pay).

There is a mechanism in place to revert the leave so deducted,but  must be done within a stipulated number of days.
If this is not done there is NO way to get back your Salary, even if you have worked for those days, and attendance records prove that. I interacted with HR and they are saying it cannot be done citing past emails and audit issues.


Please enlighten me if this is a Fair and Legal practice, such that even if an Employee works for the Company, has attendance records,  any inadvertent delay in updating Effort on an online portal can result in your losing you Salary.



Learning

 1 Replies

Kumar Doab (FIN)     13 December 2012

You have posted that:

--“have to fill the effort sheet on a Weekly basis,”

The weekly report is introduced as work/report reporting by employee to company.

The deduction is result of non reporting.

It is felt that company should pay salary and deduct fine from some allowance e.g. daily allowance.

What does company do with the amounts collected thru Fine? Does it maintain register and utilize it for welfare of employee’s activities?

Such issues are better resolved thru follow up, persuasion, persistence, persuasion, negotiation, reasoning and you may remain careful to submit reports to company in time.

--“About a year back there was a change in company policy”

Has the company circulated this policy as printed policy to all employees and you, and has it explained to you alone in person in company of another employees?

Deductions allowed from wages as per SE Act:

e.g SE Act Delhi { You may look into SE Act applicable to your state which can be accessed at Dept. of Labor website of your state or can be purchased from market}

20.  DEDUCTIONS WHICH MAY BE MADE FROM WAGES.

{(6) Nothing in this section shall be deemed to affect the provisions of the Payment of Wages Act, 1936 (4 of 1936).}

THE PAYMENT OF WAGES ACT, 1936

7. Deductions which may be made from wages.

You may go thru section on deductions in SE Act and THE PAYMENT OF WAGES ACT, 1936, and appraise yourself.

21. Claims relating to wages.

The company has to maintain record and registers of attendance, wages payment, fines imposed.

You may go thru these and understand them.

--“I interacted with HR and they are saying it cannot be done citing past emails and audit issues.”

Is this interaction in writing? Employee should raise query/complaint/grievance in writing and obtain reply in writing.

---“I don't know how much are the labour laws really applicable for IT companies in SEZ.”

You can access the IT/ITES policy of the govt and SEZ policy from website or buy from market.

e.g.

IT and ITES Policy, 2003

GOVERNMENT OF MAHARASHTRA

9. Industry friendly and Supporting environment

 

SEZ Policy Mahahrashtra:

Labor Regulations

 

 

IT companies are covered by SE Act.

Some states had granted blanket exemption from provisions of Standing Orders, some sections of SE act e.g. opening/closing time which are well described in the policy of the govt.

State of Karnataka has ended the blanket exemption granted to IT companies and now the employer should frame their certified standing orders or model standing orders shall apply.

 


Attached File : 148578448 delhi shops & establishments act, 1954.pdf, 148578448 karntaka now applicability%20of%20standing%20order%20to%20it%20industries.doc, 148578448 maharashtra sezpolicy.pdf downloaded: 201 times

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