All posts are first hand feeling on matter posted by you and are not a legal opinion.
You should consult an able labor law consultant/service matters lawyer in person with all of your employment related docs, in person and proceed under expert advice of your lawyer. The lawyer that has examined the docs on record and your inputs in person can advice you the best.
Let all of your communications be now drafted and structured by your lawyer.
Has the company deducted PF,ESIC, Group Insurance on new wages after increment and deposited the same, too?
Has the company stated even if verbally that if you do not refund the amounts being demanded from you what actions it shall take e.g. termination, leveling some charge etc?
If company has overpaid by oversight then it could deduct from payouts on its own………………. that it has not done…………………….rather it is resorting to unethical, unfair practice of coercing and intimidating in office.
The increment awarded can not be reversed………………..hence you are being asked to refund verbally to transfer the onus on you.
Apparently there is no mistake on your part.
It is felt that you may not refund the amounts being asked from you by verbal orders………………………and should affirm verbally that you are being paid as per salary increment letter issued to you………………
Verbal transactions are not on record and are difficult to prove…………….hence you should record the calls/meetings (audio/visual)………………….and keep some witness.
Your lawyer may opine to minute the discussions if required………………………………….(therefore maintain record of meetings/discussion) and to attach the scanned copies of salary increment letter issued to you……………………………..signed copies of appraisal conducted to award the increment………………………..and to submit the copy of increment letter signed/accepted by you to good offices of appointing authority/MD/authority that has signed the increment letter.
Since a dispute seems to be precipitating you may take a call on firming up your next venture.
You have posted that the Redg. office of the company is in Mumbai (Maharashtra).
As per Bombay Shops and Commercial Establishments Act;Sec38-B:::: if no. of employees are=>50 standing orders shall apply……………….if standing orders are not certified Model Standing Orders shall apply………………(Until or unless your company/trade is exempted by the state govt………………….and you alone have to verify it.)
The DLC in o/o Labor Commissioner is usually certifying officer (CO) and this authority at location of Redg. Office of the company can provide the certified copy of standing orders against a nominal charge of say Rs3/page……………………………..alternatively the concerned HR personnel can also provide it.
Employer should display standing orders at a conspicuous place in office (Chennai in your case) and should also supply the certified/authenticated copy against a nominal charge say Rs.10/-----
The company might have placed standing orders/HR policy/service rules and regulations/appraisal policy/increment policy etc……………. at some shared portal e.g. HR portal………………………you may download the same………………………………..or demand it from concerned/designated HR personnel that is custodian of such policy.
You may go thru Model Standing Orders: Sec13-18.
Your lawyer may opine after looking into your designation and nature of duties that you shall be covered as ‘Workman’ as in ID Act, ‘Employee’ as in Tamilnadu Shops and Commercial Establishments Act…………………….. and hence shall be protected as per provisions of these enactments………………….and that if required you can:
--Lodge complaint with Inspector under Payment of wages Act if your wages are upto Rs.18000/pm as per def. of wages in this Act…………
Salary slip has to be issued at least a day before disbursement of wages and should be signed by employer and employee; Sec13A………
--Lodge complaint with Inspector under Tamilnadu Shops and Commercial Establishments Act
One of the jobs of the Inspector is to ensure that correct wages of employee are paid in time.
--Lodge complaint with O/O Labor Commissioner.
--approach civil courts if reqd.
---lodge criminal complaint under u/s 406,420......................
--approach employee's unions/Work’s committee/grievance redressal committee within company, trade unions and unions in Tamilnadu and Maharashtra have been strong................