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SHAMMI (Assistant Manager)     03 October 2014

Not issuing relieving letter & threat to spoil career

Dear Experts,

 

I was an employee of a Pvt. Company, which is a 100% subsidiary of an Belgium based company, dealing in heavylift equipment rental and providing engineering services. I have worked there for 27 months. After handling a huge mental pressure for a long time, one good day, i have decided to quit the company. I have resigned on 6th August, and offered a full 3 months notice to the company as per appointment policy. On 23rd of August newly joined Regional HR & my department head has called me up for an adhoc meeting and asked me to get relived by same day, without any prior notice. However they agreed to issue relieving in date of 31st August, and show 7 days on LWOP. (23rd-31st Aug.).

 

In past, they have always recovered the pay in lieu of waiving notice period from all the employees who couldn't serve full notice, but now when it's their turn to pay salary in lieu of early relieving, they said it's management discretion that they don't need to pay you anything in lieu of early release.

 

Now it's been a month, and after several reminders to the management, they have sent me an email with F&F calculation, where they have made a deduction of rs. 1,00,000 against an employment bond, which i have never signed. They have sent me to UK for a meeting, but it was not for any training or studies etc. it was just to attend several meeting with various managers in 3 week period. Now they claim to recover cost of travel through that fake bond, which wasn't signed by me, neither any of other employees have signed any bond, who were travelling with me.

Moreover they have given threat for spoiling career and give negative reference checks as well, when i said that there is no bond as such,  for which i have audio recording evidences as well. 
 

Please suggest, to whom i can complain, and which acts govern these kind of issues ? (My Monthly salary was Rs. 60,000 )

 

Thanks In Advance.

 


Learning

 2 Replies

Kumar Doab (FIN)     03 October 2014

 

The relieving letter from advance date can’t be issued. You can’t be forced to proceed on Leave Without Pay.

Resignation can’t be accepted before expiry of notice period tendered by you. It is your discretion to accept notice pay in lieu of notice period @ as available in enactments applicable to establishment e.g. ( name of the state) Shops and Commercial Establishments Act which is usually @ gross pay…………………………or as in standing orders (certified/model)/negotiated bilateral settlement/ appointment letter/service rules and regulations………………………..

 

However the service conditions including notice pay can’t be inferior to that explained in enactments applicable to establishment…………………….although it can be superior.

  

No deduction from earned wages can be made until or unless there is an explicit discretion is available to employer by law e.g. statutory deduction of PF,ESIC,TDS…………….etc or by a VALID private agreement between employer-employee.

 

If FnF statement supplied to you is not correct you may decline to accept it in writing e.g. non inclusion of notice pay/Bonus/incentive/ etc…………………..inclusion of liquidated damages of BOND that was never signed by you…………..

 

It is guessed that management in Indian entity has not issued any written communication claiming BOND money and has just included it in FnF statement and thereafter is resorting to verbal communications…………. ISN’T IT?

 

You may minute the discussion that are recorded by you (mention phone numbers,dates, names, brief minutes……………………and keep the card safely in locker…………………and retain its copy in CD with you…………………and prepare word file verbatim of discussions…………………for showing it to your lawyer).

 

Your lawyer may opine that  you may exhaust the internal escalation matrix by written representations under proper acknowledgment……………….. before issuing the notice/legal notice/statutory notice say for Winding Up petition.

 

All employees may join hands and stand as a witness to each other. Anyone can be in need of other one any time in case with such unscrupulous employers.

 

You can mention that the employer has been extracting notice pay from outgoing employees and demand to place the FnF statement on record……………………….and that equitable discretion of Notice pay in lieu of Notice pay is available in contract of employment………………………and that you were called on dated………………..by Mr/Ms……………….. and  were asked that you stand relieved from dated………..( date of meeting) and you don’t have to attend to office and charge stands as having been handed over by you and nothing is pending to be done by you………………….and no tasks  are pending at your end.

 

What is the date of relieving shown in FnF statement?

 

You can also explain that you have never been sent on Training and no expenses on any extra ordinary favor has been made by company on you that would add to your qualification etc………………..and you have undertaken business tours as ordered by company and performed the tasks assigned to you during such tours………………………(download and produce record when required).

 

Report the threats and build record and ask the good offices to take such statements back and supply you the certified copy of your ‘Service Card’ and allow you to examine your ‘Personnel File’.

 

 

What is this establishment; Commercial, Industrial, Small Enterprise? The registration certificate should have been displayed near entrance.

Whose name is printed in registration certificate; as Manager/Owner etc?

 

The div/office where you were located is redg. as factory or commercial establishment?

 

 

 

How many people are employed in it?

 

The Redg. office of the company and reporting office of the employee is located in which state?

Employee was located in which state?

What was employee’s designation and nature of duties and how many persons were reporting to employee?

 

Did  employee have any power to sanction leave, pass increment, conduct appraisal, recruit/appoint/terminate?

 

Who has signed the appointment letter?

 

Who has signed the FnF statement?

 

Is it stated in appointment letter that service conditions shall be governed by HR policy/service rules and regulations/conduct and discipline rules/standing orders (certified/model) and do you have copy of these?

 

Was the employee under probation period or a confirmed employee? 

 

 

Is there any ‘Employee’s Committee/Grievance Rederessal Committee’ in your company and did you approach them?

 

Are you a member of any employee’s/trade unions?

 

 

Reply point wise to each point.

 

It shall be appropriate to consult an able labor law consultant/service matters lawyer-Law firm handling such/criminal/company law/winding up petition cases with copies of all docs on record as mentioned above and any other relevant evidence that you might have and proceed under expert advice of your lawyer. 

 

Your lawyer may opine that you are covered as ‘Workman’ as in ID Act, ‘Employee’ as in (Name of your state) Shops and Commercial Establishments Act ………………..and can  can:

 

 --Lodge complaint with Inspector under Payment of wages Act if your wages are upto Rs.18000/pm as per def. of wages as in this Act


--Lodge complaint with Inspector under (Name of your state) Shops and Commercial Establishments Act

 


One of the job of the Inspector is to ensure that wages/FnF wages of employee are paid in time.

--Lodge complaint with O/O Labor Commissioner…………………………………and can handle the objection of ALC and matter may be forwarded to Labor Court if the conciliation proceedings have failed.

 

--Approach civil courts

---lodge criminal  complaint under u/s 406,420......................

 

 

---file for winding up petition.

--approach employee's unions, trade unions leaders ( e.g. INTUC, CITU,BMS,etc............)and................they may succeed to put pressure and can also represent you in labor Court.

 

 

 

 

 

 

 

SHAMMI (Assistant Manager)     03 October 2014

Thanks for your response, please find below my answers to your questions:

 

What is this establishment; Commercial, Industrial, Small Enterprise? The registration certificate should have been displayed near entrance. - it's a pvt. company providing services to real state companies and wholly owned subsidiary of an belgium based company.

Whose name is printed in registration certificate; as Manager/Owner etc? Managing director is authorised to act on behalf of the company.

 

The div/office where you were located is redg. as factory or commercial establishment? I am not sure, but it should be regd.as commercial establishment

 

 

 

How many people are employed in it? 200 (in india)

 

The Redg. office of the company and reporting office of the employee is located in which state? Regd. ofc is in Okhla (new delhi)

Employee was located in which state? Delhi

What was employee’s designation and nature of duties and how many persons were reporting to employee? designation was assistant manager and 20 people were reporting to employee.

 

Did  employee have any power to sanction leave, pass increment, conduct appraisal, recruit/appoint/terminate? employee had power to sanction leaves, and recruitment.

 

Who has signed the appointment letter? managing director

 

Who has signed the FnF statement? F&F letter is not issued yet, only calculation of F&F has been shared. MD signs it usually.

 

Is it stated in appointment letter that service conditions shall be governed by HR policy/service rules and regulations/conduct and discipline rules/standing orders (certified/model) and do you have copy of these? -  i can't see any clause therein.

 

Was the employee under probation period or a confirmed employee?  Employee got confirmed 1.5 years ago, and also got best appraisal across company last year (100% hike).

 

 

Is there any ‘Employee’s Committee/Grievance Rederessal Committee’ in your company and did you approach them? - NO there isn't any comitte .

 

Are you a member of any employee’s/trade unions? No

 

 Does labour law inspector has rights to entertain this case - as per month salary is 60000, which is far above then the limit prescribed of rs. 18000 pm.

 


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