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R B Kushwaha   22 December 2015

Non paymentof arrear by lic

Dear Sir/Madam,

     I joined LIC of India on 03.09.2007 and resigned through proper channel on 02.04.2009 to join as Assistant Section Officer in Govt. Of India. I executed a bond of one lakh during the joining of LIC with a condition to serve four year with LIC of India. After resignation following was done:- 

- I was relived from the service and my past service was not counted by the Govt.of India.

- wage revision notification was issued by the LIC of india from retrospective dates i.e. 2006 but i was denied of paying any arrears though i served inthe revision period from 2007 to 2009.

- My PF and other dues were paid only few days ago after various complaints i.e in November,2015 after 6 years.

- No payment of my leave encashment etc was made.

- My bond of one lakh was transferrred to Govt.of India with a condition that if I leave Govt job within 4 yr..(counting from2007) then I had to pay one lakh. 

 

Now, My queries is that-

   -I had not resigned but technically resigned because even my bond was transferred to Govt. of India- then------

- Why Govt of India denied of counting my past service?

- Why LIC is still denying to pay my arrears?

for information it is also stated that:-

- In the joining letter it has been clearly mentioned that ...your pay will be so and so(due for revision)..means "due for revision" was clearly mentioned in the offer letter. I may take a plea that it was due forrevision thats why I joined but now they are not paying arrears.

--I was in service in Govt of MP even prior to the job of LIC and their revision notification was issued even after LIC's notification but they paid me full arrear. If a Govt.organisation can pay full arrrears then what is the justification of denying the arrers by LIC which is also Govt. Organisation.

 

KINDLY GUIDE ME.

 regards,

 R B kushwaha

 



Learning

 10 Replies

R B Kushwaha   22 December 2015

Try to add value to the discussion, with your each post.

Kumar Doab (FIN)     22 December 2015

You may consult an able counsel specializing in labor-service matters,with all docs on record and let your counsel examine the details and precedences in such matters, and you understand the merits and remedies.

 

Have you appealed to Chairman or exhausted the internal remedies!

siddhartha sinha   22 December 2015

I believe the post is just Assistant. While the ultimate course of action is to be as expert above, please mention whether lic has recently announced wage revisions. If so then they will pay up eventually. It takes time as the amount is huge and every company has an order of priority while payment. Please explain for what purpose are they supposed to be counting previous work exp? Whats the general rule?

Dr Katta Venkata Rama Krishna (Retd Sr Director Govt of India/ Advocate)     22 December 2015

1) Govt of India shall not count your service in LIC of India, as both are distinct and different entities unless otherwise the terms and conditions of appointment so explicit which ordinarily not.  While Govt of Inida itself  is Central Government, LIC otherwise is a public sector Orgn, Public sector Undertaking, partly owned by Govt of India as that of Public Sector Banks.

 

2) LIC will have to pay eligible arrears as per Pay Revision of Nov 2015, effective from August 2012, even after your resignation.

 

3) Interest as applicable for the delayed payment on PF for 6 years shall have to be paid.

 

4) Leave encashment if eligible will also be paid as per service rules.

 

5) As the resignation from LIC is before completion of the bond period of 4 years, in violation of the contract, the compensation of Rs.1 lac in lieu thereof, as agreed upon, has to be paid to LIC else will be recovered through your current employer GOI.

 

R B Kushwaha   23 December 2015

Post in LIC was Assistant Administrative Officer(Class -1) and in Govt.of India it was Assistant (Now renamed as Assistant Section Officer) .

----I ave exhausted all available internal remedies.(only one reply was recieved fromZonal Office,other offices have not even replied to my representation i. e no reply from Branch office,Divisional Office and central Office)

----Payment of PF etc as been made only after when I complained in Ministryof Finance,Govt. of India that too recently in Nov,2015 ( I resigned in April,2009)

--- It is not a recent wage revision,but earlier notifed in year 2010(but effective from 2006 or 07). From then I am persuing LIC for payment but they are denying on the plea that they have already mentioned in the notification that arrears will not be paid to those who were not in service on the day of notification. 

-- Bond was transferred to Govt.of India and at present I am serving in Govt.of India hence payment of Bond money does not arises, because tere is a circular issued by finance ministry that bond can be transferred if resigning technically and going to Govt service only.

-- It is not a recent wage revision but earlier of 2010(effective retrospectively) and they have given it in writing that they will not pay as I was not in serviceon te day of notification. But my plea is that I have served LIC from 2007 TO 09 and revision is effective from 2006-07 then I am eligilble for the period tillI I served. 

 

with warm regards,

 

R B kushwaha

 

siddhartha sinha   23 December 2015

Dear Author, wage settlement is essentially an agreement between union(acting on behalf of you) and management. If the agreement says you are not eligible then you are not. You may file a petition in appropriate court. You can give example of banks,govt jobs who pay arrears to all staff on payroll on effective date. Regarding bond transfer your query is not clear. Transferring of bond is one thing. You said bond has been transferred. Then what is the counting of past service for?

RAJASEKHARAN K E   21 April 2016

Dear Sir,

I also have a similar issue 

I joined LIC of India as an assistant in Kozhikode divison on 29/10/20009 and resigned on 15/10/2014 to join another job.

I was not given the salary arrears and I sent request in this rtegard the zonal office of LIC of India seeking payment, and no reply was given.

If there is a scope for a collective move in this regard, we caqn think of it.

Rajasekharan K.E.

Kozhikode.

kerala

RAJASEKHARAN K E   21 April 2016

Also I knew from internet that anumber of people have the same issue from LIC 

Please go through the link

https://uberrimafideslicindia.blogspot.in/

RAJASEKHARAN K E   21 April 2016

Also I knew from internet that anumber of people have the same issue from LIC 

Please go through the link

https://uberrimafideslicindia.blogspot.in/

Kumar Doab (FIN)     21 April 2016

Expert Dr. Krishna has already clarified that;

"2) LIC will have to pay eligible arrears as per Pay Revision of Nov 2015, effective from August 2012, even after your resignation.'

 

In the link posted by you it is mentioned that:

"So how can this clause be introduced, that too with retrospective effect? If at all it has to be introduced, it could be with prospective effect and the same should be mentioned in the appointment letters.'

 

"  The Supreme Court has declared this clause itself to be ultra vires, meaning 'beyond reach' of the Chairman's powers. "

 

So all affected employees may join hands and take up the matter with Finance Ministry and/or approach court of law.


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