Gratuity
Nandhakumar
(Querist) 15 September 2016
This query is : Resolved
I am working in a IT company for 8 years from Oct 2008. In 2014 there were 10 employees worked for few months(3 to 4 months). After that there is no 10 employees. In this case, am I eligible for gratuity. The gratuity act says that 10 employees in preceding 12 months. Another query is that I was getting good salary upto last year. After that they said that the company is in bad situation, so they reduced the salary including my basic salary, but I haven't signed any agreement for that. Can I claim the reduced salary?
Kumar Doab
(Expert) 15 September 2016
Gratuity:
Payment of Gratuity Act, 1972;Sec;1*[(3A)]
http://labour.gov.in/sites/default/files/ThePaymentofGratuityAct1972.pdf
Salary:
If it is without your consent you may have a chance.
You may prefer to show all docs on record to a very able counsel specializing in Labor/service matters, for a considered opinion.
Raj Kumar Makkad
(Expert) 15 September 2016
You are entitled for the grant of gratuity in case you leave the job and issue of the reduction of salary cannot be forced upon you without affording an opportunity of hearing.
Kumar Doab
(Expert) 15 September 2016
Gratuity:At this moment apparently: you are not entitled for gratuity.
Payment of Gratuity Act, 1972;Sec;4(5)
Employer can pay by its sweet will.
Kumar Doab
(Expert) 15 September 2016
Reduction of Salary:
You have posted that: "they said that the company is in bad situation"
How was it said to you?
Say: Notice, email, verbally, in writing?
Saying,said,telling, told are all verbal mode of communication. These are not on record atleast with employee and difficult to prove.
Kumar Doab
(Expert) 15 September 2016
If bad situation is just to adopt unfair labor practices then employer has erred.
If bad situation is due to owners, they can reduce their own perks and request for Co-operation from employees.
Apparently there is NO misconduct by employee and NO disciplinary action and also NO standing orders.
IT sector has not faced recession.You can comment on it.
If there is loss of market share then it could be entirely due to inapt management.
You have not accepted the change in salary by signing an agreement.
You might have objected/agitated on less salary paid to you in office! Confirm.
Does company issue salary slips?
Did it provide for PF,ESIC?
Nandhakumar
(Querist) 15 September 2016
Thanks all.
They have informed through the mail and by phone and they said that project will be coming in the pipeline within 3 to 4 months, then the salary will be on track. Projects came but the salary not increased. Yes they issued the pay slip. We dont have any PF,ESIC
Kumar Doab
(Expert) 15 September 2016
You have posted that;
"They have informed through the mail and by phone and they said that project will be coming in the pipeline within 3 to 4 months, then the salary will be on track. "
Was it stated in writing that...............'then the salary will be on track'?
You may post full facts in one post.
Nandhakumar
(Querist) 15 September 2016
Sorry about that.
Here is mail which they have sent.
"Dear Nandhu,
This has reference to the telephone conversation last week regarding salary restructure. With the temporary cash-flow situation being faced by the company, there will be a temporary restructuring of salaries for all employees at(Company Name) with effect from July, 2014. This is the new salary structure, until cash flows improve."
Salary = Old basic-15,000 + HRA = Old HRA -8,000 + conveyance(2000)"
other things like "3 to 4 months" is said by phone.
Hope this helps?
Anyway thanks all the experts to clarifying the doubts immediately.
Kumar Doab
(Expert) 15 September 2016
"there will be a temporary restructuring of salaries "
Ask for payment of difference in writing under proper acknowledgment.
You can approach Inspector appointed under Payment of Wages Act, Shops & Ests Act, IT employs unions, O/o Labor commissioner.....
You have Co-operated with employer.
Apply your skills and get in writing from employer that it shall pay Gratuity from DOJ.
Nandhakumar
(Querist) 15 September 2016
Thanks for your kind reply.
Kumar Doab
(Expert) 15 September 2016
The company has recovered from financial constraints.
Apply your skills and get in writing from employer that it shall pay Gratuity from DOJ.
Once such agreement is signed and communicated to you, proceed further.
Kumar Doab
(Expert) 15 September 2016
You are welcome.
Raj Kumar Makkad
(Expert) 18 September 2016
Doab can made hard labour to resolve your query. So special thanks for him even from my side.
Kumar Doab
(Expert) 18 September 2016
Respected Senior Expert Mr. Raj Kumar Makkad,
Sir,
Many thanks.