the terms of your appointment letter are sacrosanct
2) compensation can be sought as per terms of your appointment letter
Compensation based on the grounds of company sale to new stakeholder
I have been working since jan-17 in the present company. Off lately the present company had nearly confirmed to sell its 100% stake to new stakeholder. It is basically going to be a Business transfer agreement in which the employees will be transferred as such with same salary package & benefits, this is what had been verbally confirmed by the existing senior management. I have basically relocated from DELHI NCR near my Hometown. In my Appointment letter which was given to after my joining there was a clause which clearly stated that i must serve the existing company for continuous 12 months, in the absence of which i must pay back 12 months CTC plus other expenses. This clause was never discussed during my final round of interview or initial offer letter. I spent considerable amount on my relocation from DELHI-NCR from JAN-MARCH-17. Now with the present scenario of existing company selling its 100% stake it is becoming a case of leaving the employees in hurry. What are the bases on which the Compensation can be sought from the existing company.
Asked 8 years ago in Labour
11 Answers
I have already sent an email to the executive director of the company seeking compensation of 12 months CTC, plus gratuity amount on pro-rata basis, my relocation exp of more than 1 lacs & the variable salary component till march-2018. The e-mail was sent on 15/01/18 but no reply had been received back till date.
Asked 8 years ago
you are not entitled to any gratuity as you have worked in the organisation for only one year
compensation package would be as per your appointment letter
If the company is turning a deaf ear to your legitimate request seeking release of your dues, send a Legal Notice to the company calling upon them to release all your pending dues including your gratuity and relocation expenses etc.
If the Legal Notice is not complied with, take a legal recourse against this company by filing a recovery suit against them.
1. What type of industry?
2. Are you a full-time employee?
3. Have you entered in a contract by only signing offer letter or any other supplementary contract?
4. Are you laid-off now or transferred to the new venture?
Hi,
I don't see any reason to reply your mail by the executive director.
The transfer, sale, amalgamations, takeovers are the normal business transections and you need to understand this.
The outgoing management may safeguard the interest of the staff and workers by considering the clause of absorption or employee transfers but that is not mendatory and the taking over company have to take decisions as per their business interest and if they wish to continue with you you may continue or when they ask you to resign your clause may be considered and you may claim the benefits as per the terms of your appointment.
You may take legal action by filing a suit for recovery of due amount from the incoming company.
The company has been sold to a new person my be without any condition to absorb the existing employees.
If you have not received any order terminating your services, you may remain in the company till then and then you can initiate legal action for the remedies available for you in this regard.
What is the proof that the company has terminated you?
Without the company terminating your services, you may not become eligible for enforcing the company terms to you.
Always cultivate the habit of sending all correspondences by post or registered post.
You are not eligible for gratuity as you have not completed 4 1/2 years to become eligible for gratuity.
Sir please note that along with company it's liabilities and assets are transferred to a new company. You can seek compensation with new company. Secondly since there's a agreement between you and company you can initiate legal action under recovery of money.suit in jurisdiction court.
Hi, as you already have sent a mail to the company officials .. Incase if they fail to compensate , you can file a civil suit for damages or can file a complaint in the labour court
You can seek injunction from the labour court if the said activity is illegal and affecting your terms of agreement or concealment of vital information. You can also approach civil court for damages if said case doesn't come in purview of labour laws.
