Management of X Co. engaged in debt resolution have refused to clear the dues (pending salaries/gratuity/LTA/Medical etc.) to its 25 ex-employees. In the meantime, an ex employee sent a winding up notice to the Management u/s 433/434 of Companies Act stating if you do not have funds you should wind up the company. In the notice he had mentioned names of all the ex-employees. In reply, Mangement wrote to him that nothing is payable to any ex-employees. Recently an ex-employee went to the company and company gave him a format of affidavit and told him to first give this affidavit and then we will think clearing your dues. One of the clause of affidavit states "I have no grievance against the company". Now questions do arise.
1. If filing a recovery suit is the only solution?
2. Should ex-employees give the aforesaid affidavit.
3. Are the employees covered under IDA Act.
4. Will retrenchment compensation be applicable to executive whose services have been terminated by the company.
5. Have they right to approach Delhi Labour Department as all employees were placed in executive and above grades.
6. Any other legal recourse which the employees can take together?
