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Gagan Dhir Jaiswal (Territory Manager)     05 August 2013

My rights to experience certificate and relieving letter

I recently resigned from my previous company and joined my current company. My resignation letter was accepted, I returned all company documents and artifacts, filled and submitted all forms. It has been two months since then, I am yet to receive my Final Settlement and my Relieving Letter & Experience Certificate.

I am in the marketing sector and the reason for the hold up being described that a customer of a certain deal completed by me is yet to pick up product from dealer. The said product has been billed, payment received and currently lies with the dealer.

My query is,

1. Is this a valid reason to withhold my legitimate dues?

2. Can I seek redressal in any way?

3. Can I be forced to work to settle this matter for my previous employer even when my am no longer under their employment?

4. What are my Legal Rights regarding this matter?



Learning

 6 Replies

Rama chary Rachakonda (Secunderabad/Highcourt practice watsapp no.9989324294 )     05 August 2013

you would have follow the terms & conditions of your appoitment letter. If u deviate any clause specified in the appointment letter, you have to face it. If any arrears is pending legally, you can file a petition in the office of the labour commissioner at your work place jurisdiction.

Kumar Doab (FIN)     05 August 2013

What is this establishment: Industrial or Commercial? Company must have displayed the registration certificate near entrance on notice board.

 

What is the nature of business of this company?

 

You are in which state and HO/Redg. Office of the company is in which state?

 

Does the payment of Wages Act, Industrial Establishment Standing Orders Act/Model Standing Orders apply to it? The DLC in O/o Labor Commissioner can confirm it.

 

 

You have posted that:

 

--------“The said product has been billed, payment received”

 

There is no outstanding at the end of employee.

The dealer has received the payment and the matter is between the dealer and customer.

 

However are you aware of any T&C stated in appointed letter, service rules, that states that customer has to pick up delivery from the dealer and if the customer does not pick up the employee (or Ex. Employee i.e. even after the employer-employee relationship is terminated) that has completed the deal can be penalized in any manner…………..

 

 

--------“My resignation letter was accepted, I returned all company documents and artifacts, filled and submitted all forms.”

 

There is no outstanding at the end of employee.

 

However have you obtained acknowledgment of all forms from the company?

 

 

----------“the reason for the hold up being described “

 

Who has described the reason……………………?

 

 

You may escalate the matter to good offices of appointing authority, MD, Chairman, Company Secretary……………………..narrate all representation made so far mentioning dates, names of company personnel……………………………..and explain………………..and conclude that there is nothing pending at your end………………..the documents and payments (provide detail)  by bank DD only should be supplied to you by redg. post only……………………………….so as to reach you in next 7 days. You may add that a postage prepaid self addressed envelope (as purchased from PO) is attached herewith……………………………..

 

Such matters are best resolved by applying goodwill, rapport, exceptional levels of persuasion, persistence, reasoning, negotiation skills. Employee should develop these skills. These skills can be acquired.

 

If despite the best and sincere efforts good office does not resolve and provide relief,

 

the employee can approach:

-Lawyer/Law Firm: A legal notice by lawyer can drill sense into the heads.

 

Employee should retain access to a competent and experienced labor consultant/service lawyer and proceed under expert advice of his lawyer.

 

Almost all employer are crafting contracts with T&C inserted into these which are beneficial for the employer but restraining and damaging for the employee………………….

 

- trade union leaders

 

Majority of the employees refrain from becoming member of trade unions which is their loss.

Trade unions can negotiate service conditions for the benefit and advantage of employee.

 

Employers should have ‘Works Committee’ in which representative(s) of the employee are made member and even Chairman……………….

There should be Grievance Redressal Committee in company………………..

 

Be a member and educate others to form IC, trade union in company and trade……………

 

 

 

-Inspector under Shops and Establishments Act: one of the duties of Inspector is to ensure settlement of dues etc………………

 

e.g. Delhi Shops and Establishments Act : 37. Powers and duties of the Inspector: (b) Duties of the Inspector

 

(i)  that in dispensing with the services of an employee the provision of the Act and Rules

have  been  complied  with  and  no  dues  payable  under  the  Act  or  Rules  have  been

withheld

 

- Inspector under Payment of Wages Act (applicable to all employees drawing wages as per def. of wages in the Act up to Rs.18000/pm),

 

2. Definitions.

3*[(vi) "wages" means all remuneration………………………..

 

(d) any sum which by reason of the termination of employment of the person employed is payable under any law, contract or instrument which provides for the payment of such sum, whether with or without deductions, but does not provide for the time within which the payment is to be made;

 

 

-O/o Labor Commissioner:

 

Time for Payment of FNF dues is max. usual pay day………………

 

SCHEDULE I

[1][MODEL STANDING ORDERS IN RESPECT OF INDUSTRIAL ESTABLISHMENTS NOT BEING

INDUSTRIAL ESTABLISHMENTS IN COAL MINES]

 

 

13.          Termination of employment:

 

(3)   Where the employment of any workmen is terminated, the wages earned by him and other dues, if any, shall be paid before the expiry of the second working day from the day on which his employment is terminated.

 

16.  Certificate on termination of service.--Every permanent  workman shall be entitled to a service certificate at the time of his dismissal, discharge or retirement from service.

 

NOTE. - There is a provision under  this  Act for issuing a service certificate at the time of  dismissal, discharge or retirement and every person is entitled to take such certificate.

 

 

-Civil Court

 

There are threads to suggest that employee can approach police and lodge criminal complaint under sec 406, 420……………………………….

 

And to treat the unpaid wages as debt on employer and approach the employer as creditor …………..

e.g;

https://www.lawyersclubindia.com/forum/details.asp?mod_id=72011&offset=1#.Uf-LaNKAqWN

 

 



 

Gagan Dhir Jaiswal (Territory Manager)     05 August 2013

Thank You Ramacharya and Kumar Doab for your expert opinions. I am pursuing the Higher Management for clear policy details as my appointment letter speaks of no condition other than servimg notice period and return of official effects. I have furnished all proofs specified by Kumar Doab and am waiting for their response.

NGOKC (pm)     05 August 2013

One reason for hold up could be determination of final settlement amount. Since you are from Marketing, your incentives cannot be calculated properly till that particular consignment is picked up

Gagan Dhir Jaiswal (Territory Manager)     23 August 2013

The company is holding up stating the reason that they require NOC from the dealers and a customer. I have acquired the NOCs from the dealers but the customer refuses to have anything to do with the company. I have repeatedly asked for a company policy document that makes these mandatory but have received none. The customer had made advance payment to book a machine and has collected neither the booked machine, nor has reclaimed the advance deposit. Can this be a valid reason to block my dues? How am I supposed to proceed now?

Kumar Doab (FIN)     23 August 2013

NO.

You were never an employee of the dealers.

No employee is deemed to obtain any kind of NOC from any Dealer.

If the company is apprehensive it could issue a communication to its dealers that company shall not be responsible for any amounts or any item handed over to employees.

Usually companies incorporate such clauses in the agreement signed with its dealers too.

We have seen it enough number of times in many trades and demands of the company invariable being rejected by employees (not just workman but even Regional Heads) and in the end companies making the payment to the employees.

If you have fulfilled private wishes of the line managers, HR, employer you have taken extra steps forward.

You can explore the option of reducing the amounts of the bill of machine from amounts to be calculated for commission/incentive to remain it on hold till the issue is resolved……….

Now it is entirely your choice to pursue the matter as deemed fit at your end.

If the company is adamant you may issue Notice/Legal Notice to Appointing Authority, MD……………….and if the matter is not resolved you can approach your lawyer and lawful authority as applicable in your case.

 

 


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