Employer not paying salary of last month
Kamal Verma
(Querist) 29 April 2013
This query is : Resolved
Dear Sir,
I have join the Deligent Networks on Nov'12 as a Manager, In my appointment letter "salary will be 40000.00 per month" was written no salary breakup was given, and any notice regarding about probation period was not mentioned.
I have paid by improperly but leaves amount were not deducted in my monthly salary.
But because of improper managment & environmental I left my the company in April 2013
After all the handover, I left the co on 22th April 2013 and regularly followed up with the company to provide me my last salary & releiving letter, work exp letter, and dues. But company has told me to provide all the leaves details from joining till last day and now they have decide to deduct all the leave amount (which I have taken from joining to till last day)and They calculating per leave amount as simply dividing per month salary by 30/31 days (e.g. leave amount is 40000/30= 1333 per leave)and are giving the remaining amount.
I have denied their offer and demand the salary break-up along with employee leave details, but they are refusing to provide the same and saying that during probation period no leave given.
Please tell me how I get my money and teach the lesson to the company that in future they will not repeat this again.
Thanks
Nadeem Qureshi
(Expert) 29 April 2013
Dear Kamal
Contact a lawyer with all the documents for best opinion
Adv k . mahesh
(Expert) 29 April 2013
first tell us what was the position and if they had not provided probation then had they given status as permanent
show your appointment letter to a lawyer for advice
Devajyoti Barman
(Expert) 29 April 2013
File criminal case u/s 406 crpc if you want to give them ' lesson'.
Guest
(Expert) 29 April 2013
First of all, Nov'13 is yet to come, as you stated, "I have join the company on Nov'13 as a Manager."
About your claim of salary or leave, that depends upon terms & conditions of your off or appointment letter, which you have not said anything about.
Kuummaar AS
(Expert) 29 April 2013
Threaten them, and be ready to do so also, if required, that you will expose them before the labour authorities
Kumar Doab
(Expert) 30 April 2013
Learned experts/members have given valuable advice. Kindly follow it.
Is the offer of the company in writing? If yes it is trapped.
The company has deducted the PF, ESIC from your wages or not?
Has the company supplied Pay slip of all months or not? If yes check the amount of deduction of PF etc………and you/your lawyer can arrive at basic wages….
-------{The pay slip should be supplied and signed by both employer and employee. Record should be maintained for 3 years. The wages of employee who has separated should be paid in time.
Payment of Wages Act: 2. Definitions: 3*[(vi) , (d) , 5, and
6. Wages to be paid in current coin or currency notes.
5*[Provided that the employer may, after obtaining the written authorisation of the employed person, pay him the wages either by cheque or by crediting the wages in his bank account.] }
If NO demand in writing under acknowledgment: pay slip/salary slip, PF number, ESIC card, correct FNF statement, acceptance of resignation, service certificate, relieving letter, PF account slips…………. Etc……..
You may not limit to HR/Line managers and escalate to good offices of appointing authority, MD, Chairman, Company Secretary and if they also maintain studied silence or do not provide relief, you may approach your lawyer and Labor Inspector in o/o Labor commissioner, Inspector under Shops and Commercial Establishments Act , Payment of Wages Act………….These enactments, contact details of the officials may be available at the dept. of Labor website of your state…………….
-------Shops and Commercial Establishments Act e.g. of Delhi:
8. Employment of adults, hours of work.
COMMENTS: (a) ………….Therefore, a day’s wage should mean the result obtained by dividing the monthly wages by actual number of working days, i.e., 26 days.
22. Leave: (b) in every year, to sickness or casual leave for a total period of not less than twelve
days:
Provided that:
(i) an employee who has completed a period of four months in continuous employment,
shall be entitled to not less than five days’ privilege leave for every such completed
period; and
(2) If an employee entitled to leave under clause (a) of sub-section (1) of this section is
discharged by his employer before he had been allowed the leave, or if, having applied for and
having been refused the leave, he quits his employment before he has been allowed the leave,
the employer shall pay him full wage for the period of leave due to him.
23. Wages during Leave.—Every employee shall be paid for the period of his leave at a rate
equivalent to the daily average of his wages for the days on which he actually worked during the
preceding three months, exclusive of any earnings in respect of overtime but inclusive of
dearness allowance.
{You may check the company has disbursed paid leave at which rate and is deducting leave on LOP at which rate. Ideally it should be @ Basic + DA as the company disburses paid leave, OT, Gratuity, Bonus etc at this rate.}
37. Powers and duties of the Inspector:
(b) Duties of the Inspector:
(i) that in dispensing with the services of an employee the provision of the Act and Rules
have been complied with and no dues payable under the Act or Rules have been
Withheld;
You may also go thru:
20. Deductions which may be made from wages.
21. CLAIMS RELATING TO WAGES.
33. Records: (4) : Comments :
(a) The register of employment and wages is required to be kept in Form ‘G’ duly bound and pages serially numbered.
Where, however, the opening and closing hours are ordinarily uniform,
the employer may maintain such register in Form ‘H’ alongwith a separate register of wages and record of leave in Form ‘I’ but the entries relating to a particular date on which an employee if called upon earlier or detained later than the usual working hours are required to be made immediately in the remarks column of Form ‘H’ before such early or late working commences.
Kamal Verma
(Querist) 01 May 2013
Sorry for I have join the company on Nov'12 instead of Nov'13(which was mistakenly written in my previous query)
Thanks to all for their valuable advice's.....
Here I am presenting my offer latter language as it was
Dear Mr. Kamal verma
We thank for your career interest in our organization. It was a pleasure interacting with you and we are pleased to invite you to deligent family and offer you a career position us in project manager cadre.
Commencement-
You shall join on 01st Nov 2012 subject to the terms and conditions here in after set forth.
Place of Work-
Your location of posting will be New Delhi and place of work will be any as deemed upon you by the company.
Duties-
The employment contract is based on confidence placed in you for performing your obligations and deriving rights thereof. The implementation there of shall at all times conform to the requirements in good faith.
At all times during the employment you shall:
1. Attend the offices of the company at the place of work assigned to you punctually and diligently to the best of your abilities in order to perform your duties.
2.Work faithfully and may also exercise power from time to time to perform duties as assigned and not subject any of the officials of the company to any harsh, rude, misappropriate or illegal acts or words.
3.keep the senior officials of the company of the reporting authority assigning work to you fully and completely informed and updated.
Remuneration-
The compensation payable to you shall be based on cost to company basis.
You will be 40000.00 including medical reimbursement, leave travel assistance and other allowances.
For any site visit outside Delhi separate daily/food allowances will be paid as applicable and mentioned in the HR manual.*
Termination-
In case you wish to terminate this contract a three month notice period is required. For any shortfall of notice period you will be liable to pay company base pay and allowances.
Acceptance of your offer
Please confirm your acceptance to this employment contract by signing this offer latter.
*HR manual was not given till date
please let me advice if there is any loophole and suggest me useful advice.
Kamal Verma
(Querist) 01 May 2013
@Kumar Doab
Dear Sir
Here are some details of your queries
1- Company given me offer latter in written
2- Company has not deducted the PF,ESIC
3- I have not received pay slip for any month
4- Salary paid by cash partially
5- I have not received leave & salary breakup details.
6- No leave charges deducted monthly, because I have received full payment
Kumar Doab
(Expert) 01 May 2013
The details from Shops and Commercial Establishments Act e.g.; Delhi have already been provided to you.
You may look into the Act as applicable in your state.
The company has to maintain leave record properly.
You must have applied for leave and got it approved, and must be having a record with you.
If it is not passed on LOP then full salary has been paid to you.
You can check the entitlement of leave, notice period/pay in the above mentioned Act of your state.
The company has to provide the original FNF statement to you for acceptance and if it is not correct you may decline to accept in writing under acknowledgment.
You have handed over the charge (and must be having the acknowledgment) and have fulfilled your contractual obligation and now company has to fulfill its obligation by issuing the certificates and payment of dues.
If the good offices of the company are also not providing relief you may approach your lawyer and issue legal notice for supplying all certificates/documents/payment.
Kumar Doab
(Expert) 02 May 2013
FNF dues should be paid on usual pay day. FNF statement should be supplied to employee for acceptance of its correctness. Demand payment by bank DD and documents by regd. Post only.
You have posted that:
------“*HR manual was not given till date’ HR manual contains service rules, policies of the company. Gossip and rumor can not be rules. Employer should circulate policies and rules to employees and keep these in knowledge domain of the employee. Employer should not behave and act like a street magician and produce things from thin air.
Did you demand in office or in writing and does the company keep it in employee domain e.g. HR portal accessible by employees? Raise a demand for it in writing……….
In addition to other documents raise a demand for Form16 also as per correct FNF statement duly accepted as correct by you.
------“The compensation payable to you shall be based on cost to company basis”
Thus you may stake a claim on Gratuity claiming it was made part of your CTC remuneration. Gratuity is statutory benefit and can not be on basis of cost to employee.
The Delhi Shops and Establishments Act, 1954
34. Employer to furnish letters of appointment to employees:
COMMENTS
The object of the enactment is to furnish an accurate proof of employment…….
(6) Rate of wages or salary………..( Here the question arises what does your salary include to satisfy various act including but not limited to Section 17(1) of the Income tax Act, which only your employer can answer.)
Failure to issue appointment letters under section 34 of the Act to the employee
amounts to ‘unfair labour practice’ resorted to deprive them of the benefits which accrue to them due to the length of their service………….
{The PF, Gratuity, OT, Bonus, Paid Leave-PL etc are computed on the basis of Basic + DA thus the Basic Wages should be clearly defined in appointment letter. You are entitled for leave as per Sec 22 already quoted. Thus your leave is rightly passed without LOP. You are right that company needs to maintain correct record of leave and Overtime clocked by employee. As per the appointment letter issued to you, your remuneration is inclusive of medical reimbursement, leave travel assistance and other allowances. What are these other allowances and what is their amount?
LTA: (Usually 1-2 month’s Basic Salary or 10% of annual basic. What is the limit set by your company?)
-The allowance is credited to along with other components of salary whether or not you actually take leave and travel. To save tax on that amount, you need to submit documentary proof of travel undertaken while on leave failing which, your LTA for the whole year will be taxed.
-If you switch jobs, you can get the LTA not only from your present organization but also from your former employer, if the concession is lying unutilized.
HRA: House Rent Allowance:- Provided that expenditure on rent is actually incurred, exemption available shall be the least of the following :
(i) HRA received.
(ii) Rent paid less 10% of salary.
(iii) 40% of Salary (50% in case of Mumbai, Chennai, Kolkata, Delhi) Salary here means Basic + Dearness Allowance, if dearness allowance is provided by the terms of employment.}
30. Notice of Dismissal: { Were you on probation? Ideally during probation period notice period is not applicable as employee does not have any lien on job. Three month’s notice period is unreasonable and is obviously for the benefit of employer and detrimental to interest of employee. It violates following clause of the Act as well as the maximum notice periods is kept at 1 month.}
COMMENTS
(a) Applicability of section 30
The protection of the provisions of the section is available to all persons who fall within the definition of the term “employee” as given in section 2(7) of the Act and who have put in three months’ continuous services. In the absence of any standing orders or any contract between the employer and the contesting respondent containing any particular terms or conditions, the conditions of service of the employee relating to his employment in an establishment at Delhi are covered by section 30(1) of Delhi Shops and Establishments Act, 1954
) Notice or wages in lieu thereof under section 30—When to be given?
A plain reading of section 30 of the Act would make it clear that………………..the notice under sub- section (2) is for the benefit of the employer.
41. WILFULLY MAKING FALSE ENTRIES:
Companies post salary under expenses. The companies file quarterly returns.
Salary was paid partially in cash. Did you sign any voucher and retain the copy?
You may demand the copy of cash vouchers.
You may also stake a claim on PF and meet RPFC in person.
You may meet your lawyer and issue a legal notice.
Mr. Dhingra is from Delhi.
Kamal Verma
(Querist) 02 May 2013
@Kumar Doab
Dear Sir,
Thanks for your valuable reply.......
One more query is that My company is registered in U.P.(Ghaziabad),If I want to file a legal a legal notice is it necessary to file it from U.P. court or from any where.
Kumar Doab
(Expert) 02 May 2013
It can be HQ town assigned to you or redg. Office of the company/town of jurisdictional courts as stated in appointment letter………….
As an employee you may decide what is suitable to you. If you were at Delhi you may prefer Delhi.
Let your lawyer’s opinion, who has seen all of your documents and analysed inputs given by you be final on all points discussed in this thread.
Kuummaar AS
(Expert) 02 May 2013
Dear kamal,
If you indulge in legal notice/case etc., you will not get anything as the amount, even if you get, will go as fees to lawyers etc. and you will end up with wasting time only. Better it is that you make a complaint to concerned labour authorities and wait for the outcome.
