Employment compensation
Rucha Pawar
(Querist) 26 December 2016
This query is : Resolved
Dear Sir,
Mr. X was working with company , company promised to give hike after some months but it did not , meanwhile mr X taken advance from company amounting to 20000/-, (twenty Thousand Only), Mr.X left the job without paying the 20000/-, Now company claiming one lakh from him , it proposes him to join the services or give one lakh rupees , Company is going personally by contacting the inlaws of him,
How Mr.X can protect himself ,as the company threatening him that if joins anywhere it will inform the other company as well and will not let him to render services at any other place .
Should he lodge one NC against the company , he is very frightened .
Plz guide sir..
Guest
(Expert) 26 December 2016
Was there any specific reason with the employee or any purpose for not repaying the amount of advance to the company?
Rucha Pawar
(Querist) 26 December 2016
sir, thanks
the company didnot hike his salary so he left the job.
The employee is ready to pay the amount of 20thousand but the company now demanding 1lakh . which is not in any case justified .
Rajendra K Goyal
(Expert) 26 December 2016
How are you concerned / related with the query and Mr. X ?
Rucha Pawar
(Querist) 26 December 2016
Sir this is asked by one of my colligue..he is her relative
Kumar Doab
(Expert) 26 December 2016
How would the employee justify that: No hike in salary is a valid reason to decline to refund the advance!
He has resigned.
Has the company supplied any acknowledgment of the resignation, acceptance, FnF statement showing dues towards employee for Rs.1 lakh, or any communication in writing demanding Rs.1 lakh!
What are the T&C of advance!
The employee may prepare his own FnF statement of amounts payable by company to him and payable by him and net amount payable by employee or employer and request employer to check/verify and revert with employer's FnF statement to him and affirm to tender payout as per correct FnF statement.
Guest
(Expert) 27 December 2016
Dear Ruch,
The simple solution for the employee is to remit the exact amount of dues of advance with approximate amount of interest through an account payee crossed cheque in the name of the company, if advance was not interest-free, along with detail of the elements of amount, i.er., (1) the principal and (2) interest (approximate).
There was no logic in assuming that the promised hike in salary to be taken in the shape of advance received for any other reason or purpose. Any amount received as an advance cannot be treated as employment compensation. Even if hike was promised, that could be expected to be given practical shape only by the company, not by the employee, herself.
Rajendra K Goyal
(Expert) 27 December 2016
Employee has taken loan from employer, he should return it with interest first.
He should ask for full and final payment after resignation.
