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Sunder Aggarwal (Owner)     29 August 2017

Employer denied to pay dues

This is with reference to the matter subjected above. I have joined MBL Infrastructures Ltd. on 1st September 2016 as Assistant Manager-Accounts. MBL was not paying the due salary on time. In March 2017 I have requested to pay my salary m/o January & February 2017 for treatment of my mother, but they denied to pay the same. Therefore, I have to resign on 1st April 2017 (with 10 days notice period) and duly relieved by the compnay on 10th April 2017. In between company has gone into the resolution process under INSOLVENCY & BANKRUPTCY CODE (IBC), 2016. Our CMD & HR-Head instructed the existing employees not to file their claim with Interim Resolution Professional (IRP) as the existing employees don't come under the purview of said Act. The company denied to pay the dues of full and final. Even the company did not open my EPF A/c with EPF Authority. Therefore, your are requested to please advice me whether I should file my claim or not. In case I need not to file the claim, then what should I do.


 5 Replies

Yudhish Padman S (Advocate (Madras High Court) 9566217446)     29 August 2017

Dear Sunder Aggarwal,

If the company admits that they owe you, then your interests are secured vide Sec.53 of the Insolvency and Bankruptcy Code, 2016.  But if the company states that they don’t owe you anything, then it is advisable that you approach your jurisdictional Labour Commissioner and make a petition before him praying for recovery of your arrears in salary.

Regards,, Advocate, Chennai.

pankaj verma   29 August 2017

is there any remedy in any court regarding this

Yudhish Padman S (Advocate (Madras High Court) 9566217446)     29 August 2017

Dear Pankaj Verma,

Yes, Labour Commissioner is a judicial authority. If necessary, he may refer the matter to the Hon'ble Industrial Court.

Regards,, Advocate, Chennai.

pankaj verma   29 August 2017

but sir respodant ko service hi nhi ho pa rhi hai...over it I think that it only play a mediator roll between the there any remedy before magistrate... under WC..kindly...thankyou

Yudhish Padman S (Advocate (Madras High Court) 9566217446)     29 August 2017

Dear Pankaj Verma,

If you're a workman, you'll be governed by the Industrial Disputes Act, 1947. In such case, you are required to approach the Labour Commissioner. He may either refer your dispute to the Labour Court or pass orders. If you're not satisfied with his orders, then you yourself may challenge the same before the Labour Court. If you're not a workman, then you'll be relying upon your Employment Agreement and thus, you'll be governed by the Indian Contract Act, 1882. In such case, you may directly approach a Civil Court. You cannot approach a Magistrate for Labour/Employment issues.

Regards,, Advocate, Chennai.

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