LCI Learning
Master the Art of Contract Drafting & Corporate Legal Work with Adv Navodit Mehra. Register Now!

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

Salary

(Querist) 20 February 2015 This query is : Resolved 
This is Deepti, I had joined an organization in May2010, and they paid only initial month salary on time. After that the salary was delayed by 60 days minimum to every employee in the organization citing financial crisis. Despite repeated requests by every employee they were not releasing salarys.

Due to this circumstances I have decided to resign by giving 3 days of notice period which I didn’t get any acceptance.
But in full and final they refused to give any amount stating “I did not give the notice period. This has been prevalent in the organization since its inception.”

I am thinking a legal recourse, please advice.
Kumar Doab (Expert) 20 February 2015
Notice Period is part of service conditions that are governed by various enactments applicable to the establishment/employer/employee e.g. :
---(name of the state) Shops and Commercial Establishments Act that was enacted to govern the service conditions of the employees working in establishments covered by this Act…………………..and the notice period applicable for period of 3months of service might be NIL.

---and Standing Orders (certified/model): and the notice period during Probation Period is NIL and after confirmation of service it is 30 days only.

If employer was not paying salary on time then it has breached the trust and various enactments and notice period in such case has lost its sanctity.
Moreover the employee can lodge a complaint the moment payment of wages is delayed even if by a day and employer be penalized say Rs.7500/instance.
Similar queries have been discussed at many threads e.g;
http://www.lawyersclubindia.com/forum/Resignation-without-waiving-notice-period-of-service-agreem-116878.asp

http://www.lawyersclubindia.com/experts/Notice-period-523671.asp



Did the company issue appointment letter/I.Card. It is mandatory vide (name of the state) Shops and Commercial Establishments Act/Model Standing Orders…………
The company liable to pay wages on fixed day of payment of wages as in various Acts that are applicable.
You might be covered as ‘Workman’ as in ID Act, ‘Employee’ as in (name of the state) Shops and Commercial Establishments Act.
The (Name of the state) Shops and Commercial Establishments Act applicable in your state might not distinguish between a ‘Workman’ and ‘Non Workman’.
Hence any person employed in any establishment covered by the Act shall be covered by the def. of ‘Employee’ as in the Act and can approach the Inspector appointed under the Act. One of the jobs of the Inspector is to ensure that wages are paid on time.
All employees irrespective of the designation drawing wages upto Rs.18000/pm (as per def. of the wages in this Act are covered by the Payment of Wages Act…………..and can approach the Inspector appointed under the Act.
You might also be covered by the Min. Wages Act and can approach the Inspector appointed under the Act.
The labor Inspector in local o/o labor Commissioner may also be officiating as Inspector under all Acts mentioned above and local o/o labor Commissioner can clarify and help.
Each employee should be supplied Wage/salary Slip at least a day before the payment of wages and it should be signed by both employer and employee…………….Refer Min. Wages Central Rules 26(3,4), Payment of Wages Act ;sec13A…………….(name of the state) Shops and Commercial Establishments Rules……………………….and salary slip should show all statutory deductions e.g. PF,ESIC, TDS etc………..
IN addition to it the record of payment of wages,OT,attendance is to be maintained as per prescribed registers vide (Name of the state) Shops and Commercial Establishments Rules and falsification of record is an offence…………
If wages are not paid then company has defaulted on PF,ESIC,TDS and complaint can be lodged with:
---RPFC in nearest o/o PF commissioner
---jurisdictional ESIC office

----ITO-TDS where employee has to file ITR and CIT-TDS where employer files ITR

Complaint u/s 406,420 can filed in police station…………..
Winding up petition can be filed……………..

The Employee’s Unions/Trade Unions e.g. CITU/INTUC/AITUC/BMS etc can be approached………………..

The contact details of Labor Officials, Trade Unions, all Acts mentioned above is available at dept. of Labor website of your state…………

The complaint can be lodged with higher Officials of Dept. of Labor and they can levy exemplary penalty and punishment…………….

The govt. of many states have notified and made it mandatory to form ‘Grievance Redressal Committee’ in each company……………
deeptidewangan (Querist) 20 February 2015
So what should I need to do first???
Rajendra K Goyal (Expert) 20 February 2015
Well advised by the expert Kumar Doab, agree to it.

You can take one or more or even all avenues as per your convince.
Kumar Doab (Expert) 20 February 2015
Each trade have its employee’s unions and have affiliated with trade unions like CITU/INTUC/AITUC/BMS etc………….and trade Union Leaders are well informed and know precise ways to handle such matters.

All affected employees may approach the unions.

All employees should form and be part of unions and affiliate with trade Unions……………..Trade Unions are willing to embrace the employees.

Visit your lawyer alongwith elders of the family, with copies of all docs on record in person and proceed under expert advice of your lawyer.

You can also approach your union leaders.

You have posted that:
“But in full and final they refused to give any amount stating “I did not give the notice period. This has been prevalent in the organization since its inception.””

Is this reply in writing?

Do you have copy of notice and acknowledgment of resignation?

Did you tender final resignation?

The employee has ended the employment the moment he/she has tendered resignation. Resignation can be without permission or notice.

You may submit a written representation addressed to good offices of appointing authority,MD, (attach copy of notice and final resignation sent by post) narrating everything including delayed payment of wages (mention month and date of payment of wages, non payment of earned wages despite repeated requests in office (mention dates/names etc……) and that you suffered financial hardships and were not able to meet your obligations due to non payment of earned wages and submitted notice of resignation dated………………..since there was no alternative left for…………………. asked in office to whom you should handover the charge and you were informed there is no such need………….. and NO tasks were pending at your end, and you were informed in office that NO tasks were pending at your end…………….and demand to supply by Redeg. Post so as to reach you in next 3 days the acknowledgment of notice of resignation,final resignation, acceptance of resignation, FnF statement in original for verification and acceptance by you (showing unpaid wages, Bonus, Leave encashment etc), payment of FnF wages by bank DD only,PF number and a/c slips of each year, salary slip of each month, ESIC number, NOC/NDC,service certificate, relieving letter, etc

If good offices do not provide any relief then you can approach all authorities as already posted.


You need to be the querist or approved LAWyersclub expert to take part in this query .


Click here to login now



Similar Resolved Queries :