• Termination after completion of probation period

I am a person with 37 years of total working experience. I joined on 5th June,2017 in an Ernakulam based company as DGM-Operations to operate a profit center Branch at Calicut with a monthly salary of 80K. We never got a fully functional office 8 months post our employment, no muster rolls,wages slips etc.,. The product of the company) Sale of shares of its Proposed Resort Project and a Interior design factory & its products) was not ready to be presented to customers. I was under probation for six months which ended on 4th Dec,2017.
The company did not launch the products till 26th Oct,2017. All those customers contacted by us did not accept the same and commented that it sounds like a fraudulent product. Our office was also not presentable which could not create impression on customers.
In the meantime, all of us at Calicut office realized that the land of the proposed resort project was actually not owned by the company and the company lost possession of the factory where interior design products were manufactured.
During last week of December,2017, the company GM-Admin started saying that the Calicut team is not contributing. We stated the whole factors which is affecting sales.
Instead of taking corrective measures, they started asking us reasons for not shutting down Calicut office. They demanded resignation of staff. All of us strongly said that we are not at fault and will not resign.
The company was very poor in paying salary also. My salary of June,2017 was paid in Aug,2017 that too in part and salary of july by Oct,2017. 5 months salary is still pending with them. 
None of us were evaluated or reviewed during probation period. None of us were issued with show cause notices or had to undergo disciplinary actions.
On 11th Jan,2018, they issued a termination letter (One month and seven days after completion of probation period)
I wish no know whether I can demand for my salary which is not paid to me?
Can I claim Notice pay?
Can I file a case to demand for compensation?
Kindly advise.

Regards,

Vijayakumar
Asked 4 years ago in Labour

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9 Answers

1) Some states require that the employer prepare an appointment order for new hires, although this is seldom observed. There are no direct laws dealing with probation on a general basis in India, which is, however, a common practice. The (federal) Industrial Employment (Standing Orders) Act1946 (which is applicable to workmen), provides for a probationary period of up to three months. Certain states have built in the probation concept indirectly into their local laws, which ranges from three to six months. Ideally, a probation period should not exceed 240 days, as several statutory social welfare laws apply to employees who have worked for such period. The Industrial Disputes Act 1947 (applicable to workmen), prescribes that if certain terms of service change, notice must be given to the employee. It also prescribes requirements for termination for convenience, including notice and compensation.

2) If your employer is not paying your salary, you can get these remedies.

A) Approach Labour Commissioner:

If an employer doesn’t pay up your salary, you can approach the labour commissioner. They will help you to reconcile this matter and if no solution is reached labour commissioner will hand over this matter to the court whereby a case against your employer may be pursued.

B) Industrial Dispute Act:

i) An employee can file a suit under Section 33(c) of Industrial Dispute Act, 1947 recovery of money due from an employer.

ii) When the salary is due from the employer, the employee himself or any other person authorized by him in writing on his behalf can claim recover money.

iii) In case of the employee death, the authorized person or heirs make an application to the labour court for recovery of money due.

iv) The court will further issue a certificate on being satisfied that the salary is due and the collector shall proceed to recover the same.

v) If any question arises as to the amount of money due or as to the amount at which such benefit should be computed, it would be computed according to rules under this Act

Ganesh Kadam
Advocate, Pune
12335 Answers
191 Consultations

4.9 on 5.0

1. You can very well claim your arrears of salary and also the notice period salary.

2. All of you should first lodge a police complaint against the GM-Admn, Chairman, President (as the case may be) and directors of the said Company for cheating you by terminating you without clearing the arrears.

3. If police does not register FIR, you can file a Writ Petition before the High Court against police inaction praying for a direction upon police to register FIR, investigate and act based on your complaint.

4. You can also first send your demand letter to the Company and thereafter file a wind Up petition before the High Court praying for winding up he said Company since they could not clear your dues and appoint a liquidator who will sell off the properties and assets of the company for clearing the all its dues including the ones standing in your names.

Krishna Kishore Ganguly
Advocate, Kolkata
26602 Answers
726 Consultations

5.0 on 5.0

1) issue legal notice to company to pay your outstanding dues

2) if company fails to pay file summary suit to recover your dues with interest

3) you canclaim your notice pay

Ajay Sethi
Advocate, Mumbai
87899 Answers
6207 Consultations

5.0 on 5.0

Yes, send them a legal notice claiming release of your pending salary, which stands unpaid till date.

Yes, claim this too through your legal notice.

Send a legal notice first, and file a case only if the Legal Notice fails to help.

Take kaanoon's help to send a legal notice.

Vibhanshu Srivastava
Advocate, New Delhi
9426 Answers
245 Consultations

5.0 on 5.0

Hello,

You may file a suit of winding up of the company. Refer to the following link:

http://www.livelaw.in/winding-petition-employee-creditor-claiming-recovery-unpaid-salary-maintainable-bombay-hc/

Also, before doing the same send a legal notice to the company.

Regards

Anilesh Tewari
Advocate, New Delhi
17940 Answers
377 Consultations

5.0 on 5.0

Please send notice to pay salary if they do not oblige file a suit for recovery of money in jurisdiction court. Secondly file a case in labour court for compensation and damages.

Swarnarka Chowdhury
Advocate, Mysore
1878 Answers
5 Consultations

5.0 on 5.0

Dear Sir,

You have every right to claim arrears of salary and also salary pertaining to notice period. But it is also very difficult to get the funds from the company. Instead you file a complaint against the company and establish that it is marketing fraudulent products thus bring him to terms to pay your amounts. More details on phone.

Kishan Dutt Kalaskar
Advocate, Bangalore
6050 Answers
381 Consultations

4.8 on 5.0

You can send a demand notice demanding your arrears of salary till the date preceding this demand notice.

In your notice you can mention that their decision to terminate you is not in order and violating the employment conditions and also the compensation for one notice period is also not given, moreover since you have completed the probation period, you are deemed to be confirmed employee hence they need to follow the proper procedures in this regard.

You can state that the termination is not valid in law and it is illegal hence you should be reinstated with full pay and allowances without break in service failing which you may initiate legal action for which they will be held responsible for the consequences and costs.

T Kalaiselvan
Advocate, Vellore
78057 Answers
1543 Consultations

5.0 on 5.0

Certainly you can demand your outstanding salary. Send a legal notice to the company demanding salary if not given file a case in labour court for recover of your dues and unlawful termination.

Prashant Nayak
Advocate, Mumbai
27229 Answers
88 Consultations

4.4 on 5.0

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