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Lokesh Dass (Senior Manager)     29 April 2013

Non payment of full n final by the employer

Hi

Myself Lokesh Dass and I have worked for a company called AVA Merchandising Solutions Pvt. Ltd. corporate office at 1, Salwan Market, Old Rajender Nagar, New Delhi-110060 as a Base Manager for their New Delhi outlet. There I have worked for 4 months, I joined this organisation on 29th March 2012 and left on 25th July 2012. I was on probation period by the time i left the company i gave my resignation 1 week before leaving in writing and verbally everybody knew about 20 days earlier. and when i was gone for my salary to the corporate office they were kept saying that your check is not ready, boss is not in the town and after two months they said that during your tenure 20 bags were missing that's why your salary is freeze. i wrote the mail to my MD for meeting and clarify my part and he didn't revert to my mails nor he picks up my call. They have freezed my salary for 25 days which is around Rs.19900/-, for the last 4 months I am out of job and i need this amount very urgently.



Learning

 3 Replies

Kumar Doab (FIN)     29 April 2013

 

.

You have mentioned that you were on probation period, implying some appointment letter was issued to you.

The 7 days notice period during probation  as given by you should be treated as reasonable.

The designation alone does not decide employee is a workman or not.

Your lawyer may ask you a set of structured questions and may opine that you fall within the category of workman.

You may lodge a complaint with

-----O/o labor commissioner

 

 

--------With Inspector under Shops and Commercial Establishments Act of Delhi ;

 

 

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

 

THE PAYMENT OF WAGES ACT, 1936

{Applicable to all employees drawing wages up to Rs.18000/pm as per def. of wages in the Act}

 

2. Definitions:

3*[(vi) "wages" means…………..

(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;

 

5. Time of payment of wages.

6. Wages to be paid in current coin or currency notes.

5*[Provided that the employer may, after obtaining the written authorisation of the employed person, pay him the wages either by cheque or by crediting the wages in his bank account.]

 

The contact details/address of the inspectors under these enactments would be available at dept. of Labor website of Delhi.

 

You can also approach a competent and experienced labor consultant/service lawyer and lodge a compliant under SE Act, ID Act, Payment of Wages Act/or as deemed fit at your end and proceed under expert advice of your lawyer.

 

 What made you resign and become jobless.

If employer levels allegation of missing stock you should be able to handle it successfully.


Attached File : 733607530 delhi shops & establishments act, 1954.pdf downloaded: 198 times

Raghu Ram (Assistant)     31 December 2013

Dear Sir,

This is to inform to you that I have resigned from the company on 20.11.2012 giving notice period of 15 days. Due to company is not releasing the salaries in time. I got an opportunity in other organisation so that I have given 15 days notice period. I have submitted NO DUES CERTIFICATE from all departments also.

Company has accepted the same and issued me a reliving letter also. But till today they are not settle my full and final settlement.

Now I have to get salary for the month of OCT - 12 and 20 day of Nov -12 apart from this I have to receive Medical for one year and LTA for one year which is pending from the company.

Now I have to receive total amount of Rs.65543.00 including One year LTA, Medical & One month 20 days salary.

Kindly suggest me how to approach for my settlement.

Thanks & Regards,

Raghu Ram

Kumar Doab (FIN)     31 December 2013

 

You have given very long rope to this employer.

 

 

Who had advised you to wait for more than 1year?

Your lawyer may advice that limitation period in your case may be 3Y.........................................!!!

 

The employer might e happily waiting for the period to expire and period of 1Y for complaint under Payment of Wages Act.

 

If employee is not being paid the wages then it is a valid reason to declare employer as unworthy of being employed with and separate.

 

It is appropriate in such cases to cite non payment of wages (a breach of contract by employer) as a reason in notice of resignation/ subsequent communications and prompt employer that in such a case the notice period/pay has lost sanctity and employer on his own waive it off.

 

If you have obtained NOC from all div. as per internal policy of the company and has also tendered some notice period (15 days) then you as employee has displayed character and sincerity and employer should tender thanks and apology also for not paying earned wages on time.

 

Have you retained the copy of NOC and did you submit it under acknowledgment?

 

If employer has issued relieving letter it signifies nothing is pending/due at your end.

 

Since you had tendered notice period of 15 days it was sufficient time for the company to prepare and supply the FNF statement to you for verification and acceptance. Moreover you had submitted NOC also hence there was no reason for not supplying the FNF statement to you.

 

 

LTA: If you availed leave for LTA submit bills or the company shall disburse LTA as taxable income and subjecting to tax treatment.

 

Medical: Submit bills or the company shall disburse Medical as taxable income and subjecting to tax treatment.

 

The employee can lodge a complaint the minute payment of wages are delayed even for a day.

 

The wages have to be paid on the fixed day.

 

 

Why the salary of Oct was held up? It should have been paid on usual pay day.

The FNF wages should be paid by last day in office or within next 3 days or maximum by usual pay day.

 

Since the company had defaulted on payment of wages it might have defaulted on PF,ESIC,TDS too.......................!!!

 

Prior to lodging a formal complaint you may submit a representation addressed to appointing authority, MD and narrate all representations made so far ( by phone: mention phone numbers, names,  by email, fax, letter etc) and brief minutes of discussion and decline to accept any reason for delay and demand that your wages be paid at once by bank DD only to be supplied thru redg. post only alternatively you can request to transfer in bank a/c ( if company has not opened a salary a/c) and submit Bank a/c, RTGS/IFSC code etc..............................so as reach you in next say 3 days...................

 

You may demand salary slips of all months of employment at once ( it should be ideally supplied prior to the payment of wages ) PF number-a/c slips for whole tenure of service, ESIC number and card, Form 16, FNF statement etc................................also.

 

 

 

 

In case of dispute employee can approach:

 

 

-Lawyer/law firm: A legal notice can help to drill sense into the heads. You may request your lawyer to include the HR personnel, , CEO, Chairman, MD in list of noticees............

 

Designation alone does not decide employee is covered as ‘Employee’ as in Shops and Commercial Establishments Act, and ‘Workman’ as in ID Act....................

 

Your lawyer may ask you a set of structured questions and may opine that you are covered.

 

 

-Trade Unions/ Employees Unions: They know precise ways to handle such issues

 

 

-Inspector under Shops and Commercial Establishments Act; : It is one of the duty of the Inspector to ensure that all dues to the separated employees are disbursed...................

 

- Inspector under Payment of Wages Act (applicable to all employees drawing wages up to Rs.18000/pm as per def. of wages in the Act. Claim should be filed within 1Y or condo nation of delay is to be obtained)

 

-o/o Labor commissioner

 

- RPFC for PF

 

-ESIC Inspector

 

-Civil Court.

 

There are threads to indicate that employees contemplate to file criminal complaints u/s 406,420.............................and approach employers as creditors treating unpaid wages as debt on employer..................

 

https://www.lawyersclubindia.com/forum/details.asp?mod_id=72011&offset=1#.UNRXofLZ1JI

 

 

It shall be appropriate to consult your lawyer and proceed under expert advice. The lawyer that has seen all of your docs and has analyzed the inputs can advice you the best.

 

 


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