Company not issuing relieving letter
Danish Siddiqui
(Querist) 05 March 2014
This query is : Resolved
Hi,
I was working with a company and had been to USA for training & learning the process for one month. Company has made me sign a bond for that. The bond terms and conditions were either I serve in the organisation for two years or pay three lac rupees as compensation back to the company.
Also, While working with the company I have worked much longer hours due to business requirement I have worked 15-16 hours per day for month on month and even on weekends also to stabilize the project whereas the appointment letter have only stated 9 hours a day 5 days a week. I have not got any overtime for that project.
I have left the company after 1.3 years for better career prospects with out any notice period now the company is not issuing me the relieving letter as I have not paid the bond amount and asking a certain amount (includes bond amount) to give my relieving letter.
I am ready to pay the notice period amount, and not the bond amount as I feel I have served much longer hours than required in the company.
Could you please help me what legal options are available with me? Whether company can deny issuing me the Relieving letter ? What will the process to file a case against the company? How much it will cost ? Appreciate if anyone can reply to my above doubts so that I can go ahead with the legal option
ajay sethi
(Expert) 05 March 2014
if you need relieving letter you have to honour terms of your contract . since you have failed to serve the bond period company can claim from you the bond amount . after all the organisation has spent for your training abroad
Danish Siddiqui
(Querist) 05 March 2014
But what about the overtime I have worked for the company for month on month to stabilize the project. The appointment letter only states 9 hours in a day; however I have worked more than 15-16 hours per day month on month to stabilize the project. Company has not paid any overtime pay in lieu of the extra work hours.
Cant I claim my overtime pay in lieu of the bond amount?
ajay sethi
(Expert) 05 March 2014
in the private sector you have to work hard for long hours .it is not a 9 to 5 job . you worked for more than 9 hours as per your wish . do you have any correspondence with your organisation wherein you have objected to the long hours of work .
your defence should be that you should not be called upon to pay Rs 3 lakhs for entire 2 years . since you have already worked for 13 months only the balance period of 11 months should be taken into account .the bond amount should be proportionately reduced .
Kumar Doab
(Expert) 05 March 2014
In private sector too in India, OT is applicable, and work hours are well defined. The employer on its own should pay OT along with wages and maintain proper record of OT hours in prescribed forms and registers.
Employee should also lodge claim of OT in reasonable time if employer does not pay in time.
Have you submitted the claim to US entity or Indian one? The attorney in US (in Province where you were located) and in India would know how to put feet on the tail.
Your attorney may opine that you are covered by enactments like The Fair Labor Standards Act (FLSA) ,and do not fall in exempted category………………………….
You may go thru;
https://www.washington.edu/admin/hr/ocpsp/flsa-ot/flsa.html
http://www.businessknowhow.com/manage/salaryit.htm
You may refer to (Name of your state) Shops and Commercial establishments Act and rules
framed under it.
India is a signatory to ILO and work hours are clearly defined.
IN USA too work hours and OT are well defined.
The liquidated damages inserted in Bond by employer may need to be proved.
Prorated amounts may be one of the options for amicable settlement of the matter, if you are willing for it and you employer too, otherwise court of law shall decide it. The training option may not be allowed as a venture to earn from it and hence actual expenses may have to be substantiated.
You may discus the matter in person with your attorney(s), and show all docs and records.
It shall be appropriate to proceed under expert advice of your lawyer.
Rajendra K Goyal
(Expert) 05 March 2014
Whether the company asked and acknowledged your overtime work ?
In which capacity you were working.
Whether any provision about payment of overtime was mentioned in your appointment letter?
Have you claimed your overtime after each month?
You have not observed your written agreement terms accepted by you, company can take legal action.
Kumar Doab
(Expert) 06 March 2014
Even if OT is not inserted in appointment letter issued to employee it shall be applicable as per provisions of the enactments, Statue applicable to the establishment.
More so if the establishment is violator of the laws applicable to it in US then the attorney can help you to not only get the dues but also to set a trend for other fellow employees. This company may get publicized as a violator of the rights of the employees and company may not want it.
Are you in IT/ITeS sector, and if yes you may also approach IT/ITeS employees, trade unions too………………………
They can rake up the issue for the whole community of employees that are being exploited.
You will get something only if you try for it.
