Withheld the retirement benifits
RAJESH KUMAR
(Querist) 23 November 2013
This query is : Resolved
Sir,
My friend who is working as Manager in PSU/Corporation and will be retired on 30th Nov. The Corporation has issued explanation on 20th Nov. Can the Employer withheld the retirement benefits like- gratuity, epf, encashment of leave etc. of my friend.
The employer issued the explanation, that why he has not process the file for release of FD's amount which was deposited by the Corporation with the Registrar of High Court as per High Court order. Later the High Court had ordered for release of FD amount but the Corporation has not requested to the Registrar for release of said FD amount and the amount was lying with the Registrar High Court since more then six years.
Ms.Nirmala P.Rao
(Expert) 23 November 2013
PF, gratuity, leave encashment etc are equal to right to property under the Indian Constitution(Art 309) and entrenched rights of employee and only in extreme cases of crime on the part of employee etc, they can be withheld by the employer. Hence, tell your friend to file a writ in State High Court to get all the above benefits first after getting issued a due legal notice to his employers to pay the same failing which he can file a Writ of Mandamus to get the above retirement benefits immediately, They are not alms or bounty of the employer and the employee gets entitled to the above benefits by dint of his hard work and skill.. Many Supreme Court decisions are there on this aspect.If you wish to thank me for this reply please click the thank you button on my profile.
Rajendra K Goyal
(Expert) 23 November 2013
The employee has not retired yet. If the department suspends him or prefer to retire conditionally, benefits may be withheld till decision of pending disciplinary case. The charge does not seem to be grave as the interest for overdue period may be claimed from the Bank as per extent instructions and the PSU is not likely to suffer much losses due to this.
R.K Nanda
(Expert) 23 November 2013
nothing more to add.
Rajendra K Goyal
(Expert) 25 November 2013
Whether any loss to the employer has been mentioned in the explanation called from the employee. In PSU generally the duty is multilevel, whether any explanation has been called for from the senior also.
