LCI Learning

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More


Statutory dues not being paid by employer

Employee of a public limited company, upon resignation, has not been paid gratuity, arrears of salary, earn leave, What recourse is available to him/her? Matter is related to managerial cader, State of Uttar Pradesh. 


 27 Replies

Kasyap Ivaturi   03 September 2017

If you are holding the full & final calculation sheet, then you can file a Summary Suit under Order 37 - For the Recovery of dues in respective Civil Court as per the pecuniary jurisdiction.

G.L.N. Prasad (Retired employee.)     03 September 2017

First contact Advocate who is an expert in Labour matters, and issue a legal notice clearly recording the time prescribed under law to settle the retirement benefit and violations by the company in not paying it after retirement. 

Kasyap Ivaturi   03 September 2017

Dear GLN Prasad Ji,

He belongs to Managerial position. Now he cannot portray himself as a Workman to get the benefit of Labour laws.
Section 33C of the Industrial Disputes Act, 1947 is not applicable to him.
Kindly refer Section 2(s)(iii) of I.D.Act, 1947

+91 9873299382

P. Venu (Advocate)     03 September 2017

Certainly, an advocate's Notice could make the difference.


First of all Thanks to all who responded on my message. Really a big thanks. Secondly it is right to say that Industrial dispute Act is not applicable in this case. Secondly the employer has not issued relieving orders, no resignation accepatance letter, no experience letter have been issued. Summary Sheet is dream for all affected ex-employees. Company is run by a big man, all the directors are just for compliance, none of them has shareholding etc. simply they are employees of the company. Each of the ex- employee's claim runs between 15-20 Lakh as they have completed over couple of decades service. Group is habitual of draging case upto SC. Some of the employees are eligible for pension. No pension proceeding advanced by the company. Advice is needed on (1) Early disposal of case (2) Cost effectiveness. 

Can Arbitration & Concialiation be availed ? Or some better remedy is available keeping in view of (1) Early disposal of case (2) Cost effectiveness

Kasyap Ivaturi   03 September 2017

You have to sit hard on them with hardcore litigation. If you opt ADR, your employer can easily buy the very good time. Heavy in your pocket, landing nowhere. End of the day you will realise and go to Civil Court.

Kasyap Ivaturi   03 September 2017

Aggrieved employees can go for winding up proceedings against the company.


Discuss with some lovcal lawyer by showing your service related documents.



May I have draft winding up petition? So that I can check with local lawyer is he is taking right step. 

darshana sawant (associate consultant)     06 September 2017

Dear Trivendra,


Managers are also covered under Payment of gratuity Act, so if your company was employing more than 10 employees, the Act is applicable and the gratuity is payable upon termination, reisgnation or superannuation of an employee unless he is involved in fraud, riotous or dishonesty misconducts and show cause is issued to him for this.  Therefore it is primary duty of employer to pay the gratuity within 30 days of resignation, failing which you can send the demand for gratuity in form I to the employer and he is required to pay it with interest.

darshana sawant (associate consultant)     06 September 2017

Dear Trivendra,


If the employer ignores notice then you have to file an application for claiming gratuity in the Labour Court.

Originally posted by : Trivendra
May I have draft winding up petition? So that I can check with local lawyer is he is taking right step. 


When you have decided to check with some locval lawyer, why worry? You are not required to provide any draft to him. He will take care of drafting also, as per his own prerceptions. You just have the need to provide him systematically listed events in brief about the problem and its background.


Kumar Doab (FIN)     08 September 2017

The establishment has avoided to issue any document in writing so as to avoid any admission of debt.

Do you have copy of notice of resignation, its POD, subsequent reminders?

Yes resignation letter was acknowledged & pf alone has been paid

Leave a reply

Your are not logged in . Please login to post replies

Click here to Login / Register