Worked for the pharma industry for a reputed firm from Jan '94 to June '00 and was denied gratuity and bonus at the time of leaving. Job confirmation received in Dec '95. The company states that since I didn't complete 5 years of service, I am denied these payments.
I want all dues from the company. How should I proceed, and what procedures do I need to follow? Last year, I visited the office campus personally, and HR assured their support, but there has been no response from their end.
From India, Delhi
I want all dues from the company. How should I proceed, and what procedures do I need to follow? Last year, I visited the office campus personally, and HR assured their support, but there has been no response from their end.
From India, Delhi
Dear Friend,
As per your statement, you joined the company in Jan-1994, with service confirmed in Dec-95, and resignation in June-2000. I am curious about the capacity in which you served the company from Jan-94 to Nov-95, which is almost 2 years. During this period, it seems likely that you may have worked as an apprentice or trainee, where your employer did not consider this time as part of your service. In some companies, the period of apprenticeship or traineeship is not factored into the calculation of total service. Only the date of confirmation is taken into account.
Therefore, according to your company's policy, it appears that you did not fulfill the requirement of completing 5 years of continuous service from the date of confirmation in Dec-95. Had you continued your service until the end of Dec-2000, you might have been eligible for gratuity as per the act.
Regarding other outstanding amounts such as unpaid salary, bonuses, etc., that need to be settled, I suggest reaching out to your HR department to address these matters promptly by submitting another representation.
Regards,
From India, Hyderabad
As per your statement, you joined the company in Jan-1994, with service confirmed in Dec-95, and resignation in June-2000. I am curious about the capacity in which you served the company from Jan-94 to Nov-95, which is almost 2 years. During this period, it seems likely that you may have worked as an apprentice or trainee, where your employer did not consider this time as part of your service. In some companies, the period of apprenticeship or traineeship is not factored into the calculation of total service. Only the date of confirmation is taken into account.
Therefore, according to your company's policy, it appears that you did not fulfill the requirement of completing 5 years of continuous service from the date of confirmation in Dec-95. Had you continued your service until the end of Dec-2000, you might have been eligible for gratuity as per the act.
Regarding other outstanding amounts such as unpaid salary, bonuses, etc., that need to be settled, I suggest reaching out to your HR department to address these matters promptly by submitting another representation.
Regards,
From India, Hyderabad
It should be the date of joining and not the date of confirmation that should be considered for deciding the eligibility and calculating the amount of gratuity. It is okay if the training period was apprenticeship under the Apprentice Act, but in a pharma company, I don't find any scope for apprenticeship training.
The companies can't have their own rules for payment of gratuity and other statutory payments like bonus. It is settled law that the period of training other than apprenticeship training should be considered as the service period for all purposes, like gratuity, bonus, leave with pay, contributions, and coverage under PF, ESI, etc., and there cannot be any exception to it also.
It is surprising that the claim for gratuity is not made even after 14 years of your leaving the organization. However, the obligation to pay is on the employer and therefore, if you file a complaint before the appropriate authority, you will get it with interest.
Regarding the payment of the bonus, since it is based on the profitability of the company and the employer is under no liability to pay a bonus to employees whose salary is more than Rs 10,000, (it should be Rs 3,500 in the year 2000, I think!!) you cannot take it as a right.
Attached is the form N which may be filed before the Controlling authority, Labor Officer in the jurisdiction of your company.
Madhu. T.K
From India, Kannur
The companies can't have their own rules for payment of gratuity and other statutory payments like bonus. It is settled law that the period of training other than apprenticeship training should be considered as the service period for all purposes, like gratuity, bonus, leave with pay, contributions, and coverage under PF, ESI, etc., and there cannot be any exception to it also.
It is surprising that the claim for gratuity is not made even after 14 years of your leaving the organization. However, the obligation to pay is on the employer and therefore, if you file a complaint before the appropriate authority, you will get it with interest.
Regarding the payment of the bonus, since it is based on the profitability of the company and the employer is under no liability to pay a bonus to employees whose salary is more than Rs 10,000, (it should be Rs 3,500 in the year 2000, I think!!) you cannot take it as a right.
Attached is the form N which may be filed before the Controlling authority, Labor Officer in the jurisdiction of your company.
Madhu. T.K
From India, Kannur
Dear Mr./Ms. Madhu T.K.,
As per Mr. Anil's post, he joined there in Jan 1994, and his service was confirmed in Dec 1995. His joining should be considered if he received a joining letter in Jan 1994. However, I don't think he has any joining or appointment letter to prove that he joined in Jan 1994. It seems like he appeared for an interview, and after that, they asked him to start the next day. He worked for over a year and a half without any formal documentation. It was only after this period that he received an appointment letter dated Dec 1995. This situation, although not confirmed, seems to be a common occurrence in many companies.
Of course, he could file a complaint with the controlling authority. Still, I believe it may not be advisable to do so for a small amount. It might be better to resolve the matter amicably if he can provide evidence of joining in Jan 1994. Without proof of joining in Jan 1994, he may struggle to substantiate his claim before the controlling authority.
The company's intentions appear evident as the unpaid amount persists even after 14-15 years. It seems he lacks evidence to support his claim of joining in Jan 1994. The individual in the HR department at that company is unlikely to overlook such details, suggesting there could be an issue with his appointment letter that remains undisclosed to us.
Kind regards,
[Your Name]
From India, Kolkata
As per Mr. Anil's post, he joined there in Jan 1994, and his service was confirmed in Dec 1995. His joining should be considered if he received a joining letter in Jan 1994. However, I don't think he has any joining or appointment letter to prove that he joined in Jan 1994. It seems like he appeared for an interview, and after that, they asked him to start the next day. He worked for over a year and a half without any formal documentation. It was only after this period that he received an appointment letter dated Dec 1995. This situation, although not confirmed, seems to be a common occurrence in many companies.
Of course, he could file a complaint with the controlling authority. Still, I believe it may not be advisable to do so for a small amount. It might be better to resolve the matter amicably if he can provide evidence of joining in Jan 1994. Without proof of joining in Jan 1994, he may struggle to substantiate his claim before the controlling authority.
The company's intentions appear evident as the unpaid amount persists even after 14-15 years. It seems he lacks evidence to support his claim of joining in Jan 1994. The individual in the HR department at that company is unlikely to overlook such details, suggesting there could be an issue with his appointment letter that remains undisclosed to us.
Kind regards,
[Your Name]
From India, Kolkata
It is true that the onus to prove lies with the employee, but there should be something in the payroll or accounts books of the company that shows he was paid salaries from Jan 1994. That is sufficient to prove his employment with the company. In case of disputes, he can very well require the company to produce the records, and the employer will have to produce it subject to rules governing limitations and the periods for which the books are required to be maintained.
Madhu.T.K
From India, Kannur
Madhu.T.K
From India, Kannur
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