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Jayant (Trainer)     29 October 2015

No full and final settlement after 5 months since resignatio

Hello Legal Experts,

I joined the company on July 3rd 2013, worked till June 17th 2015. I was in a contract of 2 years. Since Oct 2014, the company was facing a lot of issues in paying the employees. My salary was stopped for the first 2 months, then they started paying the 3rd month (half salary), stopped again for another 2 months (then paid 2 months salary), so on and so forth.

The company lost most of its clients, had only 1 client in their hand. In a span of 8 months, from 100 employees, it came down to 6.

Since there was no work available, they gave me an option to stay or leave. So I decided to leave the organization. They provided my salary pay slips (which apparently had my actual take home salary info) and my resignation letter. It has been 5 months that I haven't received my full and final settlement.

I have sent 6 emails, no reply. I have called and received info from the HR stating that none of the other employees are asking for their Full and Final settlement, why are you asking for it. You need to wait. When am I getting it - he doesn't have an answer.

I had taken a personal loan. Because of this problem, I am almost in the verge of getting a court notice.

Please help me.


 3 Replies


your compnay is in financial trouble. it could not pay you salary. you have your salary pay slips. i think you won't get your full salary because of their financial trouble. but you can manage to get most of your salary if you sue the company in labour tribunal under payment of wages act.

Kumar Doab (FIN)     29 October 2015

In the current situation the contract and notice period has lost its sanctitiy.

You need to proceed against the employer, company and may approach:


Employee's/Tarde Unions,labor Law Consultant.....................and

Inspector appointed under; Shops &Estbs Act,Payment of Wages Act

O/oLabor Commissioner

Higher Officials of Dept. of labor

file complaint u/s406,420.....................Obtain list of assets of owners etc...

File winding up petition


Extarct your dues before it is too late, by all means .


N LAKSHMIPATHY (ADVOCATE)     30 October 2015

You did not specify your designation. 

1. In case you are in the supervisory cadre, approach labour department for settlement. 

2. In case you are a executive and in the managerial cadre in the organization, send legal notice for settlement. Failing to get reply, approach court for your settlement.

As a last resort, file winding petition.




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