Dear Rajendra,
I have been working in a private limited company in Chhattisgarh, which is involved in the manufacturing of steel/steel products, TMT, ferroalloys, and power generation for over four and a half years. I have served as the secretary to the director of the company for more than a year. Our company's financial health is not good, and the company is currently in the process of reducing manpower costs, labor costs, and other expenses wherever possible.
Periodically, the management asks employees, whether technical or administrative, to leave their jobs immediately without providing proper notice as per the terms of our appointment letters. Recently, my senior informed me on September 29, 2015, that I should hand over all company papers and belongings on the same day, and my last day at the company would be September 30.
I was shocked by this sudden decision and asked for the reason behind it. However, I was told that it was a management decision, and I was required to comply.
My question to the seniors is: Is there any rule or regulation that allows the management to terminate an employee without prior notice?
In our appointment letters, it is clearly stated that if an employee decides to leave the company, they must provide a notice period of three months. Conversely, if the employer decides to terminate an employee, a one-month notice is required.
Our payment structure includes components such as LTA and medical benefits, which are retained by the company and paid annually as per the appointment letter. However, in practice, these payments are delayed, often extending to two years based on the management's discretion. Additionally, the company has been terminating employees frequently without completing their full and final settlements for over a year or two.
I am seeking advice on the appropriate course of action. Should I tender my resignation and serve a three-month notice period, or should I request the company to settle my dues, including LTA, medical benefits, payments for September 2015, and any bonuses owed?
Furthermore, my access to the attendance system has been restricted as my card was blocked on September 30. I am unsure of the legal recourse available in such a situation where employees are terminated without proper notice.
I appreciate detailed guidance on the matter or direction on the correct course of action.
Regards,
Rajendra
From India, Indore
I have been working in a private limited company in Chhattisgarh, which is involved in the manufacturing of steel/steel products, TMT, ferroalloys, and power generation for over four and a half years. I have served as the secretary to the director of the company for more than a year. Our company's financial health is not good, and the company is currently in the process of reducing manpower costs, labor costs, and other expenses wherever possible.
Periodically, the management asks employees, whether technical or administrative, to leave their jobs immediately without providing proper notice as per the terms of our appointment letters. Recently, my senior informed me on September 29, 2015, that I should hand over all company papers and belongings on the same day, and my last day at the company would be September 30.
I was shocked by this sudden decision and asked for the reason behind it. However, I was told that it was a management decision, and I was required to comply.
My question to the seniors is: Is there any rule or regulation that allows the management to terminate an employee without prior notice?
In our appointment letters, it is clearly stated that if an employee decides to leave the company, they must provide a notice period of three months. Conversely, if the employer decides to terminate an employee, a one-month notice is required.
Our payment structure includes components such as LTA and medical benefits, which are retained by the company and paid annually as per the appointment letter. However, in practice, these payments are delayed, often extending to two years based on the management's discretion. Additionally, the company has been terminating employees frequently without completing their full and final settlements for over a year or two.
I am seeking advice on the appropriate course of action. Should I tender my resignation and serve a three-month notice period, or should I request the company to settle my dues, including LTA, medical benefits, payments for September 2015, and any bonuses owed?
Furthermore, my access to the attendance system has been restricted as my card was blocked on September 30. I am unsure of the legal recourse available in such a situation where employees are terminated without proper notice.
I appreciate detailed guidance on the matter or direction on the correct course of action.
Regards,
Rajendra
From India, Indore
Dear Rajendra,
Whatever is happening in your company is unfortunate. When separating an employee from their employment, the terms of the appointment letter must be honored. If this is not done, you may approach the Labor Office in your area. Talk to the Labor Officer and explain your problem. Those who have been terminated recently, if you can collectively represent your case, it would be better. However, much depends on the designation as well. If you are a manager, the labor officer may not entertain your case. Anyway, try your luck!
All the best!
Dinesh Divekar
From India, Bangalore
Whatever is happening in your company is unfortunate. When separating an employee from their employment, the terms of the appointment letter must be honored. If this is not done, you may approach the Labor Office in your area. Talk to the Labor Officer and explain your problem. Those who have been terminated recently, if you can collectively represent your case, it would be better. However, much depends on the designation as well. If you are a manager, the labor officer may not entertain your case. Anyway, try your luck!
All the best!
Dinesh Divekar
From India, Bangalore
Dear Dineshji,
I am working as the secretary to the director of the company, and since the last year, our company's financial health is not good. Can I approach the labor court? Can they listen to my plight and help in getting justice? As per the terms of the appointment letter, if an employee wants to leave the company, they have to give a notice of three months. However, if the employer wants to terminate the employee, they can give a one-month notice. In my recent case, this has not happened.
Please advise.
Regards
From India, Indore
I am working as the secretary to the director of the company, and since the last year, our company's financial health is not good. Can I approach the labor court? Can they listen to my plight and help in getting justice? As per the terms of the appointment letter, if an employee wants to leave the company, they have to give a notice of three months. However, if the employer wants to terminate the employee, they can give a one-month notice. In my recent case, this has not happened.
Please advise.
Regards
From India, Indore
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