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Ajaya Sharma   13 May 2021

Company is not paying salary and gratuity

My name is Ajaya Sharma based at Dehradun,
I ve joined a MNC in Dehradun on 09 March 2009, from past few years company is irregular is salary payment. And stopped paying salaries from Nov 2019 while we worked till March 2020 and not resumed job after lockdown. In Dec 2020 MD declared that termination verbally and prepared full and final. But everytime when we ask for payment they ask time , we have given 2-3 times 45 days time. Now they are not paying neither Salary nor Gratuity,
Please advice for legal steps.



 6 Replies

Anuranjan Patel (Advocate)     14 May 2021

Send them a legal notice through a lawyer and approach labour court

Sankaranarayanan (Advocate)     14 May 2021

Yes you follow as advised by the expert Mr.Anuranjan patel

SIVARAMAPRASAD KAPPAGANTU (Retired Manager)     14 May 2021

The Legal remedy is to start with a Legal Notice to the Chairman of the Company making a demand for payment of all dues. You can decide whether you wish to give such notice individually or all put together one single such notice. This to follow with a case filed in the Court duly attaching the assets of the Company and that of the Chairman and full-time Directors.


However, if the Company is in difficulties and not able to make a payment due to such financial loss/difficulties, they may declare insolvency in which case, the matter shall be before the Official Liquidator.


What about the Trade Union in your Company? Are they not taking any action to persuade the Company to first settle the dues of the Workers?


Please avail the services s of a reliable and able Lawyer in your area to guide you and assist in legal action before Labour Court or Civil Court or Official Liquidator as the case may be.

Anand Bali Adv. (Advocate Solicitor & Consultant)     14 May 2021

Dear friend, Gratuity entitlement starts after 5 years service with the same employer. Or if there is any specific clause is there in your appointment letter. An appointment letter is a basis of the employment by which all  the appointment, termination and giving regular employment gets cover. Most of the MNCs in India are Private Limited Companies and if there is any contrary clause regulation your employment is there it will prevail except any infringement of the laws of Natural Justice and Laws of Equity. It is better if you send me the copy of your appointment letter, only then after going through it I an suggest you a proper way how you get your pending salary with more future benefits till your next employment or getting you reinstated. 

Dr J C Vashista (Advocate)     15 May 2021

It is better to consult and engage a local prudent lawyer for appreciation of facts, professional guidance and necessary proceeding if the company do not respond to legal notice.

T. Kalaiselvan, Advocate (Advocate)     15 May 2021

If the company is adopting dilly dallying tactics you may have to resort to legal action if you are really interested in recovery of your dues from the company.

You cannot be so lethargic  that you remain silent for years without taking any serious action on this. 

You first issue a legal notice to the company through a lawyer demanding your dues, if the  fails to respond or not complying with the demands, then you may file a money recovery suit before civil court. 

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