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VENKAT (BM)     02 September 2011

Final settlement hold

Hi

I was working with Apollo Munich Health Insurance. I resigned my job Aug 8th. My HR called me and said that my Final settlement is on hold. 

Reason : one of my team member resigned few months back. After he resigning the job a customer came to the office and gave a complaint against him for miselling. Immediately i sent a mail to HR and State manager regarding customer complaint and asked to hold his exit clearance. Later my team member came to office and negotiated with customer and promised him to compensate the loss. But he was not having money to compensate the client, he asked me to process the final settlement. So that he will take the final settlement amount and compensate the client.

So I gave approval to process his settlement. After receiving the final settlement cheque my team member back tracked the words and he did not compensate the client. He has taken the final settlement amount and ran away.

Important point is: Settlement cheque is given by HR only. I did not give the cheque to my team member.  Since HR knew that there is a complaint against the employee, HR should not have given the cheque.

Now my company is holding my settlement for the mistake which my team member did. Do they have rights to do this? What is the process to get the settlement back?

One more important thing is, the sale was done by my team member before I joined Apollo Munich.



Learning

 3 Replies

Rajender Dahiya (Partner/Advocate)     04 September 2011

Doesn't matter if sale was done prior to your joining, when you have taken over the team then it was ur responsibility to take care of every problem concerning team. You urself has written that upon your instrcutions F & F of ur team menmber was processed. So u r liable and can't say check was given by HR. Anyways forget what has happened? Gprovide my following things... date of ur relieving, waht was the notice period mentioned in ur appointment letter.. did u serve the notice period? Was ur resignation accpeted? did u take handover of company assets from the concerned depatt.? After considering all these facts we will start ineteracting on mails with concerned people..... Don't worry it can be done...... +91 9560900283 

V. VASUDEVAN (LEGAL COUNSEL)     04 September 2011

Send a simple notice (you can draft yourself). setting out your full and final settlement workings as per your terms of the letter of appontment and address this to the CEO by speed/registered Post. If the amount is not settled, lodge a complaint under the Payment of Wages Act, to the local labour authorities. The company has right to deduct any amount from your claim, other then actual dues payable by you.

Vasudevan

Kumar Doab (FIN)     05 September 2011

Learned members/experts have given valuable advice.Kindly follow it.

 

You may submit a notice and then complaint under the Payment of Wages Act, to the local labour authorities.


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