Upgrad
LCI Learning

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

walter   26 December 2014

Dual employment - please advice

Hello All

Please resolve this case which is being considered as a dual employment scenario

My last organization has issued a releving letter with my releving date as 10th Sep. I had to serve a notice period of 90 days from my resignation date(12th June),however I served a notice of 50 days. I paid off the recovery amount for the 40 day period which they asked in F&F( which was in Sept, when the F&F was issued to me). The F&F clearly mentions my last working day as 31st July. And also mentions that the last salary processed 31st July.

I joined another org on 11th Aug,and now as the releving date mentioned on the letter is 10thSep, the bgv team has raised a dual employment scenario. Is it possible for my previous organization to show my releving as 10thSep,even when I had paid off the notice period recovery amount? I tried to talk with my prev.HR about issuing a new releving letter but they say now it can't be changed.Can I take a legal recourse and force them? Please help as I'm stuck with this thing, even though I have done everything possible at my end.



Learning

 5 Replies

Kumar Doab (FIN)     26 December 2014

 

 

 

The HR personnel at times litter nuisance and such personnel are not fit to be left to loose around in a civilized society.

The question arises that:::::WHY EMPLOYEES SUFFER???

It is as simple that employees:::: majority of them do not unite to form unions and do not affiliate with trade unions………………

Are you aware that ‘Works Committee’ as explained in ID Act is an authority::::::and President is from employees::: and it has to have equal number of members from employees:::: and that the employees can negotiate the service conditions!!!!!!!!!!

One should participate in activities and be member of unions from the student days and be properly informed.

 

 

1. The relieving letter too not just the FnF statement has to show the DOJ/DOL,designation,tenure of service,location etc........

It is believed that your company is a commercial establishment and standing orders (certified/model) might also be applicable and therefore should have displayed its registration certificate and standing orders at a conspicious place near entrance/on notice board...

 

You may download the:

---( Name of the state) Shops and Commercial Establishments Act, ( Name of the state) Shops and Commercial Establishments Rules

and both of these or either of these may lay down that employer has to maintain the various forms that record the DOJ,DOL etc e.g.

 

Tamilnadu Shops and Commercial Establishments Rules 1948:::::: FromN (service book) and FormE,F,G etc....

 

You can demand certified copy from your appointing authority/MD/Head-HR and also from Inspector appointed under ( Name of the state) Shops and Commercial Establishments Act in person or thru RTI........

DOL or last working day is the last working day and nothing else.

 

---certified/model standing orders of your last employer that should have been displayed on notice board and circulated to employees................

Your company might have kept a copy at HR portal accessible to employees...........

If standing orders are applicable but not certified then Model Standing Orders shall apply.......

The employer has to provide a copy of the standing orders to employee even if against a reasonable amount say Rs.10/-----

Employee or any one can obtain certified copy of the standing orders (certified/model) from certifying officer (CO) against a nominal cost say Rs3/page.CO might be the DLC in o/o Labor Commissioner at location of Redg. Office of the company.

 

The Model Standing Orders that is a statue lay down that 'Service Certificate' has to be issued to all employees on last day in office.......................you may go thru Sec13-19 for your matter……

 

You can also demand to supply you the certified copy of the 'Service Card' as explained in Industrial Employment Standing Orders Act...............that every establishment has to maintain....................For the application of standing orders a company need not be a Factory alone.....

Your company may scream that you are not covered by the definition of ‘Employee’ as in

( Name of the state) Shops and Commercial Establishments Act {{{WHAT ELSE IT CAN DO}}} AND as ‘Workman’ as in ID Act…………………..however your able labor law consultant/service lawyer may ask you a set of structured questions and may opine that you are covered………………

 

 

 

2.      In your case apparently the HR personnel has kept relieving date after 90 days of notice period from date of notice of resignation.......................just to show as per his/her own wisdom the justification for levying notice pay as penalty......................and has adjusted notice pay in FnF statement.

However since you did not work till expiry of 90 days notice period inserted by employer in your service conditions ( appointment letter, HR policy, Service Rules and Regulations) hence the HR personnel who is attorney of the employer to prepare FnF statement inserted and computed adjustment of Notice Pay in lieu of notice period as a penalty in FnF statement……………….

(i) On which date you received the FnF statement and on which date you paid the (Final) amounts payable by you as per FnF statement……………………if after computing earned wages/bonus/LTA/EL etc and notice pay something was to be paid by you?

(ii) Of if after computing earned wages/bonus/LTA/EL etc and notice pay something was to be paid to  you by the company then when was it paid to you?

Was this date ………………….the relieving date issued to you??????

DOL or last working day is the last working day and nothing else.

 

3. His action has resulted in expected loss of current employment and the onus is on him to explain it in writing........................that you are not to be assumed in parallel employment after the close of office hours on dated......................(your last day/date in office)..................since you were out of the employment of M/s...............................address(as on your appointment letter).....................from the  close of office hours on dated......................

Your lawyer may opine that you can lodge a criminal complaint too.

 

Falsification of record is an offense and Shops &Estb.Act also has a clause on it.

 

Has the HR personnel declined to correct in writing?

Have you represented in writing under proper acknowledgment recorded the declinature (audio/Visual/witnessed)?

 

4. If the Relieving letter is prepared by attorney of the employer in HR personnel and if it is erroneous then it  has to be corrected by employer himself if HR personnel does not do the correction……………..

Hence you may notice the good offices of appointing authority/MD in writing under proper acknowledgment.

The HR personnel might be liable for the penultimate action by employer            hence he may not agree………………therefore you may exhaust the internal option of approaching the good offices and set a deadline (as suitable to you) for supplying the corrected Relieving letter to you by Redg. Post .

Hope you had handed over the charge/assets/company property before your last date in office and company had agreed on notice pay in lieu of notice period …………………in writing ……………….on record.

If yes your last working day was settled in concurrence with employer and employer must have prepared well in advance to complete the exit formalities so as to handover the FnF statement,FnF wages,service certificate, acceptance of resignation, last salary slip,PF number and a/c slips,ESIC card,Form16,NOC/NDC to you by the close of office hours…. 

Moreover if you affirmed in writing to adjust notice pay in lieu of notice period then it is matter of record and employer was duty bound to complete all formalities by that day and relieve you on that day.

 

You may note that notice period tendered by employee can not be preponed or postponed by employer and there are many judgments delvivered by Supreme Court of India.

How can you be relieved on dated…………………other than your last date in office?

 

5. You need to charge this good for nothing BGV agency employed by your current employer and your current employer too for leveling a false allegation on you.

 

How do you know that the BGV agency (may be even owned by the current employer) has indeed conducted a proper check?

 

 

If you wish prior to that you must explain in writing under proper acknowledgment to the HR personnel/HR head/appointing authority/MD of your current employer the precise meaning of dates mentioned in FnF statement issued to you and that the certified copy of the BGV report be supplied to you……………………….since it is false…………….and written statement of your past employer stating that you worked in their employment after dated…………………..(your last date in office) , so that you can take up the matter accordingly in writing substantiated by published documents on record…..

 

You must deny that you were in dual employment and declare it a FALSE CHARGE ON YOU!!!!!

 

 

   

6. The notice period of 90 days may not necessarily be applicable on you.

 

 

Notice Period/pay is part of service conditions.

 

Your able labor law consultant/service lawyer may ask you a set of structured questions and may opine that you are covered……………… by the definition of ‘Employee’ as in

( Name of the state) Shops and Commercial Establishments Act ………………..‘Workman’ as in ID Act  and Model Standing Orders…………………

 

( Name of the state) Shops and Commercial Establishments Act was enacted to govern the service conditions of employees working in establishments that are covered by this Act……………………and notice period and pay is governed by this Act………….and notice period is as per length of service and is not more than 30 days………..

 

Standing Orders (certified/Model) : The notice period during probation period is NIL and 30 days after confirmation of service.

 

 ( Name of the state) Shops and Commercial Establishments Act, Standing Orders (certified/Model) being an Act, instrument of law, statue shall prevail upon any private agreement drafted/crafted by employer and signed with employee e.g. appointment letter,HR policy etc…………………and any service condition that is inconsistent with these shall not survive….

 

The labor Inspector shall not and can not accept notice period of 90 days if you are covered by these enactments…..

You may also check and relate the rate of notice pay applied by the company…..

 

Hence if company has committed transgression, illegality  you can contest and claim refund of notice pay too………………..!

 

If you are unable to handle the matter on your known entrust it to your able Labor Law Consultant/Service matters lawyer…

 

 

                                                              

1 Like

walter   26 December 2014

Hello Sir

Thanks for such a detailed reply.

  1. I'm not awareif standing orders/Model standing orders thing apply. I will probably have to ask my lawyer. Can I find out if it does? The company is a outsourcing firm, would it fall under it?
  2. Date of processing of F&F- 19th Sep. Recovery amount paid on17th Nov by DD, and I have the acknowledgement on email for the same. Mentioned on the F&F Last WorkingDay- 31st July, Last Salary Processed 31st July. Resignation Date- 12th Jun. Notice period recovery 40 days. The recovery amount included 40 days of basic salary+HRA+Allowance and deducted Medical reiumbursemnt and leave balance. So while the F&F says thelast working day as 31st July, on the reliving letter they mention "We accept you last date of working with the organization on the close of business hours on the 10-Sep-2014''
  3. The HR has not responded to my email and when I called her on the phone, she said that we now the letter cannot be backdated. I asked her if they had shown me as absconding because my last working date is 31st July and releving is 10th Sep. She said that they have not put a abscondiong case against me, however she mainatined that the releving date is 90 days from resignation and they didn't agree to shorten it. When I asked if that is the case, what is the recovery amount of 40 days about, she didn't give a direct reply to this. I am thinking of putting mental harrasment charge as well on this. Can I do that and seek compensation for this?\
  4. You are right- even I am wonderding how can the last day of working and releiving date be different
  5. I think that is a great idea. I will do so. I just wonder if that would create an ill will in my current organization about me
  6. I will surely take it up with a Lawyer, and present him with all the facts- company name, location etc( which I can't do on a public forum) and if the Standing Orders is binding on them, will definitely be a huge plus.

I wish to thank you for taking the time to go through the entire thing. I thought the union creation is only in the factories/ manufacturing setup and the creation of unions etc is forbidden in service industries setup. That is the reason these companies get away with exploitation, because while they have an entire legal team sitting with them to settle things, an individual feels uncomfortable because of lack of knowledge to approach lawyers.

Any other advice/suggestion is welcome

Regards

Kumar Doab (FIN)     27 December 2014

1. The Standing Order Act is applicable to all establishments to which the Payment of Wages Act, 1936 applies. Section 2 (e) (iv).....

 

The outsourcing firm (commercial establishment) should have registered under ( name of the state) Shops and Commercial Establishments Act and the registration certificate should have been displayed near entrance.

Such Establishment might be covered by standing orders.

Shops and Commercial Establishments Act lays down that Such Establishment might be covered by standing orders..........................e.g. Bombay Shops and Commercial Establishments Act (Sec38-B...........if the establishment employes 50 or more employees)........................Kerala Shops and Commercial Establishments Act by notification has covered all commercial establishments  thus IT/ITeS companies are also covered.................

 

You may find the following thread relevant and useful and you can download the attachments :::

 

https://www.lawyersclubindia.com/experts/Standing-orders-442266.asp

 

https://www.lawyersclubindia.com/forum/Standing-order-mandatory-for-kerala-comm-establishments-85438.asp#.UkxL_NKAqWM

 

Shops and Commercial Establishments Act lays down that if standing orders are not applicable this Act shall govern the service conditions e.g. Delhi Shops and Commercial Establishments Act.....................otherwise also this Act was enacted to govern the service conditions of the employees working in establishments covered by this Act......

 

2. The employee has ended the employer-employee relationship the moment employee has resigned.

As already posted notice period tendered by employee can not be preponed or postponed by employer ...

You are liberated from employment w.e.f the date .......................of expiry of notice period (tendered by you) against penalty by notice Pay of 40 days......................levied by employer and paid by you................................and HR can not keep you in employment a day beyond this date.

Has the HR computed leave encashment,bonus,PF,TDS,Gratuity,OT,attendance,wages till 90 days were over....................i.e. 10-sept-2014..............................obviously not as it is evident from the FnF details from FnF statement posted by you.

The rate of notice pay is stated in Shops and Commercial Establishments Act and employer can not violate any clause........................of course it can provide superior benefits but not inferior................

Some employers levy notice pay @ CTC that is beneficial for employer but not for employee...........

 

3. You have not asked for backdating the letter...

You should demand to explain how come company has claimed the dual employment in your case and state clearly that your employment ended on dated......................

 

If BGV agency has contacted this HR personnel then she and her employer are fully responsible for falsification of record, publishing inaccurate/false information about you and can lead to charge of defamation, discriminatory retaliation..........etc...............

However your lawyer shall finally opine on it............

4. You may proceed as opined by your lawyer after understanding the merits and remedies.

 

5. It is upto you since you are affected.

6. Your lawyer can certainly help you.

 

It is grossly wrong and erroneous that formation of unions/affilliation of unions is forbidden in any industry.

The employer may be surrounded by lawyers but a lawyer is neither a lawful authority nor a megistrate nor a lawmaker and is duty bound to guide his employer on legalities and lawfullness and to abide by the law of the land...............

Trade Unions now precise ways to handle such employers,HR and legal cell personnel..................

 

Your lawyer would know how to handle the situation..........

 

1 Like

walter   28 December 2014

Thank you sir for adressing these points. I am determined to send them a legal notice and follow that up with a case against the HR/previous org for

1. Giving a releving letter which states a reliving date 10th Sept which is different from my last date of work 31st July in the office, even though I have paid off the recovery amount mentioned for the notice period not served.

2.Causing mental harrasment to me and my family due to potential loss of employment by giving an incorrect representation in the RL,

I will update this thread with the updates so that anyone in similar situation can learn

As of now, the HR at my current org is trying to reach out to my earlier org to get some sort of clarification from them which can help furnish some proof to the BGV so that dual employment shouldn't show up. Whatever be the efforts at their end, I still want to go ahead and file a legal case so that whatever happened with me shouldn't be repeated for others.

 

Kumar Doab (FIN)     28 December 2014

 

Get the copies of BGV report and communications that establishment (current and past) has charged you with dual employment, and now that show your current employer had to engage into clarifications from past employer........

 

The determined and vigilant employees certainly succeed..................

You may go thru:

 

https://save-tamils.org/index.php/opinion/635-a-techie-s-voice-2

https://www.theyoungbangalorepost.com/mnc-gets-slapped-illegally-terminating-employee-labour-department-orders-compensate-inr-12-5lakh/

 

Get some communication on record from current employer that you are charged with dual employment seeking clarification.....


Leave a reply

Your are not logged in . Please login to post replies

Click here to Login / Register