• Non-payment of gratuity and refusal to issue relieving letter

I was employed in a private company in Bangalore. I completed 9 years of employment at the company and resigned on Feb 05, 2024. Feb 07, 2024 was my last working day and I returned the assets of the company, completed the work-related handover, and confirmation emails in this regard were sent to the HR and Finance team. There are no outstanding dues with the company. After the mandatory 45-day period, the HR team sent me full and final settlement agreement and instructed me to sign the document and courier the same to their office address. The document was received by them a few days ago. The company has neither paid the F&F settlement amount nor issued the relieving letter. My follow-up emails and WhatsApp messages have not been replied to. 
I am in urgent need of the relieving letter and the gratuity amount which is payable to me. Is there any legal remedy available to me? I am worried that if I initiate any legal action, the company might give a negative reference at the time of BG verification which will impact my future job prospects.
Asked 24 days ago in Labour

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6 Answers

Send a legal notice to the Company Head to resolve the issue at once.  It's the employee's right for gratuity and relieving letter.  Still if it's not solved you can file a case against your employer in the jurisdictional Labour department.

Shashidhar S. Sastry
Advocate, Bangalore
5125 Answers
314 Consultations

5.0 on 5.0

Issue legal notice to company to issue you relieving letter and pay your gratuity dues 

 

2) you can file claim before the Controlling Authority under the Payment of Gratuity Act within the area, your employer's establishment is situated or where you were working at the time of resignation 

Ajay Sethi
Advocate, Mumbai
94781 Answers
7546 Consultations

5.0 on 5.0

If your settlement has not been made including the gratuity payment, then you send them a legal demand notice demanding the settlement of all dues to you and also demand them to issue the relieving letter immediately.

You should not send any communication through email or whatsapp, they will not be responded.

The legal notice sent through a lawyer will be moire effective.

If there is no reply or response to your legal notice yo may resort to legal action as per procedures of law for relief and remedy

T Kalaiselvan
Advocate, Vellore
84979 Answers
2204 Consultations

5.0 on 5.0

Dear client, its illegal on part of the company to withhold the relieving letter and non payment of gratuity amount. 

Send a legal notice to the employer for payment of gratuity and relieving letter. If upon issuing the legal notice there hasn't been any progress then you can initiate legal proceeding on the emloyer.

Anik Miu
Advocate, Bangalore
8922 Answers
110 Consultations

4.7 on 5.0

Without legal action if company is paying you gratuity it’s good try to cordinate with them otherwise the only remedy is proceeding against the company legally 

Prashant Nayak
Advocate, Mumbai
31954 Answers
180 Consultations

4.1 on 5.0

- As per law, the resignation decision is the employee’s decision, and the employer cannot sue for breach of contract, if the employee leaves without serving contractual notice. 

- Further, no employer can refused to return the original certificates or to issue relieving letter .If they are doing so, their act is illegal, unjustified and against the fundamental rights of the employee.

- Further, the employment bond with the negative covenant is valid and legally enforceable, if the parties agree with their free consent i.e. without force, coercion, undue influence, misrepresentation and mistake, but it is not enforceable, if it is either one sided, unconscionable or unreasonable.

- Further, as per Supreme Court, gratuity amount cannot be withheld of an employee on retirement or even on leaving the company . 

- Since, you have already work for the notice period of 45 days , then the company cannot deduct any amount from the F& F.

- You can send a legal notice to the company for getting F&F and the gratuity amount. 

Mohammed Shahzad
Advocate, Delhi
13261 Answers
198 Consultations

5.0 on 5.0

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