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Tushar Biswas (Manager - Accounts)     05 November 2012

Termination

Mr A was join an oranisation on 01.08.12 in Managerial Post . That company was not paid the salary for three month of Aug. Sept & Oct 2012. Oct end he met the managerment people and get a assurence of getting salary by Nov. Since the salary was not paid as per the commitment, he stops  going to office for 7 days. Mean while that company sends a termination letter stating on skill ground they are terminating the service. Since he is in the probation period, company is not paying his salaries for the past 3 months.

 

pLS Suggest wheather, going labour court is the best option or going to a lawyer.. what is the legal implecation from Mr. A's point of view.



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 1 Replies

Kumar Doab (FIN)     05 November 2012

You have posted that:

--“Since the salary was not paid as per the commitment, he stops  going to office for 7 days.”

Employee should not have stopped attending office. Employee should have submitted a carefully structured representation in writing under acknowledgment addressed to good offices of appointing authority, MD, Company Secretary, narrating and explaining previous representations

{With date, name, designation, dept, address of the company personnel and minutes of discussion} and should have concluded that he is unable to bear the expenses of coming to office, and where from the company expects him to borrow to bear the expenses and he shall be able to attend after the payment of his wages/ or he is unable to continue his employment due to non payment of wages/salary and the representation may be treated his notice of resignation/resignation.

Usually companies declare 8 days of unauthorized absence as abscondment. You may check your appointment letter and standing orders of the company if any.

--“Mean while that company sends a termination letter stating on skill ground they are terminating the service.”

Company has not declared the employee absconding and abscondment which is misconduct is not reason of termination.

Company has also not issued termination order without any reason and has rather cited lack of skill. Employee can contest.

Has the company issued any emails/stinkers/notices to employee on skill level and has the company attempted to improve the skill by coaching, guidance, training, supervision etc? Employee can look into various enactments e.g. SE Act, ID Act and contest the termination or approach civil court. It is felt that termination order issued by the company is stigmatic and employee should contest it as it may have damaging effect on the employee’s employability.

It is also felt that company want to subdue the employee and deny him his pending dues and that is why such an order is issued so that employee comes running to employer and signs FNF statement/settlement as suitable to employer in exchange for…..

 

Does the employee has appreciation letters/emails, Tgt Vs performance data, trophies, medals, incentive earnings, rewards/awards to establish that he has skill and his kill was well acknowledged?

If the company has issued termination Order Company is liable to tender notice pay as per appointment letter.

--“Since he is in the probation period, company is not paying his salaries for the past 3 months.”

Which communication, document, declares that during probation period salary shall not be paid for 3 months, or 1 month or for a day?????

The appointment letter may be shown to a competent and experienced labor consultant/service lawyer.

The designation alone does not decide employee is a workman or not.

Companies burn extra oil to subdue an employee to not to approach a lawful authority and forgo his rights and that he/she is not a workman as many of the enactments applicable to a workman limit the choice to employer.

Employee can agitate under Payment of Wages Act and approach Wages Inspector for payment of your wages.

If the establishment is covered under SE Act employee can approach Inspector/Chief Inspector under SE Act.

The addresses and contact details may be available on Labor website of the state.

You are from which state? What is the nature of activities in your establishment…is it a Factory…?

You may approach a competent and exeprienced labor consultant/service lawyer, well versed with such matters, show all documents and give inputs in person, and let your lawyer evaluate the merits, and suggest appropriate forum if the need be which may be o/o Labor commissioner or a civil court.

The company may yield to legal notice of your lawyer or you may have to agitate in appropriate forum.

 


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