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husain madraswala   13 September 2015

Salary withheld by employer

Hi,

I had entered into a bond contract in january 2015 with my company, stating the contract period as 2 years & breach of which will result into monetary compensation of Rs 75,000 /- from 0 - 12 months & 1.5 lacs from 12-24 months, by employee to employer against any specialised training provided by employer to employee.

The second point being, I will be on probation for a period of 6 months & will continue to be on probabtion even after the said period unless confirmed in writing by management. Also after confirmation of employment if I am to resign withing the contractural period resulting in breach of contract then i am to serve a notice period of 3 months in writing along with all terms stated above.

My reality right now is that I am still on probation since management has not confirmed to me, I resigned in the end of august based on medical grounds clearly stating the reasons in my resignation letter & requesting to be relieved early.

The management is forcibly asking to serve one months notice till end of september in order for a smooth handover of dutied, to which i agreed. 

now they put my last months salary on hold without informing me & when i inquired with the HR, i was informed that the management had instructed her to do so, when I asked management the reason for the same, they 'then' informed me that it was inorder to settle the bond amount. 

I asked management the question that if the terms of relieving are being followed as per contract then why am i being asked to serve a notice, which is not as per contract, to which the management replied that they will come back to me after having an internal discussion about my contract terms.I am currently serving notice.

Now, The reality of this bond amount is that it is to be recovered only against any specialised training provided to me. I have not received any specialised training & infact i was put on a project directly after 2 weeks without any training. Infact my company does not even have a training program in place & i have not been taken to any site inspections or the company test facility as well during these months of employment.

With reference to all above shared information my questions are:

1.) Can the company force me to serve notice even if it is not part of contract.

2.) Can the company withold my salary "without informing me" on the pretext of bond amount recovery "without providing any training."

I am trying to settle this ammicably within the organisaton itself for which I had put an email stating that my last working day has been accepted as 30th Sept. to management, to which the management immediately replied  saying that the imformation shared by me is not true & that the end of notice will only be as per all my contract conditions only, funny part is that this was not communicated to me by management during the meeting while accepting 30th sept. as my last working day. & also nothing regarding any monetary compensation was discussed in the meeting.

3.) Can the management change terms of relieving me after confirming my relieving date & without explictly communicating to me directly ?

Questions to these can really help me since it is stressing me out completely & i have another job in hand with home pick up & drop facility, which will take care of the medical reason for which i am putting my resignation here.

I will greatly appreciate anyone's response & guidance in this matter.

 



Learning

 2 Replies

Kumar Doab (FIN)     14 September 2015

 

Your understanding is correct and answer to your queries is in your post.

  1. The so called Bond was created in lieu of so called ‘Specialized Training’ that was never initiated and provided according to you.
  2. The employee can lodge a complaint the moment the payment of wages is delayed even if by a day from usual/fixed pay day and employer can be penalized say by Rs.7500/instance. You may demand to supply you the salary slip and payment of earned wages, both. If employer states that you have resigned and no salary slip shall be supplied and only FnF settlement shall be done  you may decline to accept it and demand to supply both salary slip (of last as well as all months) and FnF statement .Even if you have resigned payment of salary can not be blocked. If in FnF statement any amount is to be payable by you (after computing earned wages/correct notice period/bonus/leave encashment/incentives/reimbursements etc) then company can claim it from you and you can decline to accept FnF statement if it is wrong.
  3. The notice period of even 30 days may not be necessarily applicable to you as notice period is part of service conditions and is governed by various enactments applicable to establishment/employer/employee. The notice period during probation period and for say 7 months of service might be NIL.
  4. Instead of verbal transactions prefer written and record all meetings (audio/visual/minuted/witnessed).
  5. If management has stated that contents of your email are not true then you may shout back that they are lying and contents of your email are true. Don’t maintain silence and revert in writing.
  6. If employee has chosen to retire by resignation then date of retirement/LWD/expiry of notice period shall be chosen by employee. Thee employee has severed the employer-employee relationship the moment employee has resigned. You may go thru:

https://www.lawyersclubindia.com/experts/Full-final-settlement-law-for-a-private-firm-559966.asp

https://www.lawyersclubindia.com/experts/HR--559971.asp

https://www.lawyersclubindia.com/experts/Resignation-not-accepted-559656.asp#.VfZj5n1-jMo

8. Do you have any published record of relieving date given by Say Company?

9. If you are unable to handle on your own your may seek help from employee’s/trade unions, and your able labor Law Consultant/service matters lawyer/Law Firm and first reduce everything in writing and build favorable written record.

 

 

T. Kalaiselvan, Advocate (Advocate)     21 September 2015

I agree to the views expressed by expert Mr. Kumar Doab in this regard.Hope you are satisfied, if not  you may take the help of a local advocate practicing labor law for further advises.


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