Hi,
I worked for XYZ Co on contractual payroll. My contract was terminated, and my last working day was 7th April 2018. I availed LTA (called LFC in my company) in the month of February 2018. From my full and final settlement, an amount equivalent to 268 days of LTA payment (from 8.4.2018 to 31.12.2018) has been debited.
What I wanted to know is whether this is legal under the currently prevailing labor laws of India.
Regards,
From India, Kolkata
Acknowledge(0)
Amend(0)
I worked for XYZ Co on contractual payroll. My contract was terminated, and my last working day was 7th April 2018. I availed LTA (called LFC in my company) in the month of February 2018. From my full and final settlement, an amount equivalent to 268 days of LTA payment (from 8.4.2018 to 31.12.2018) has been debited.
What I wanted to know is whether this is legal under the currently prevailing labor laws of India.
Regards,
From India, Kolkata
Acknowledge(0)Amend(0)
Dear Anamika,
You have stated that your employer has deducted an excess of LTA amount (on a pro-rata basis) for the period from 8.4.2018 to 31.12.2018. Please note that you have to analyze the same on the basis of annual payment, which is paid proportionately. Furthermore, you have confirmed that your service has been terminated as per the appointment letter. The employer is right in deducting the LTA amount towards the shortfall in service.
From India, New Delhi
Acknowledge(0)Amend(0)
691You have stated that your employer has deducted an excess of LTA amount (on a pro-rata basis) for the period from 8.4.2018 to 31.12.2018. Please note that you have to analyze the same on the basis of annual payment, which is paid proportionately. Furthermore, you have confirmed that your service has been terminated as per the appointment letter. The employer is right in deducting the LTA amount towards the shortfall in service.
From India, New Delhi
Acknowledge(0)Amend(0)
The company may have a set policy in this regard. Perhaps you may have agreed to be bound by the Rules and Regulations of the company by accepting the offer of appointment or during the joining formalities. Please ascertain whether there are any rules providing for such deduction. In case it is so, then probably there is no case; otherwise, there cannot be a post-event (after your discharge) rationalization for the deduction made.
From India, Mumbai
Acknowledge(0)Amend(0)
From India, Mumbai
Acknowledge(0)Amend(0)
Dear KKHR,
I did not find anything of that sort in the appointment offer, as well as in the LFC policy, which clearly states about such pro-rata debit in the event of separation before serving the complete year in which the LFC was availed. I will re-check every line again and get back to you.
Thanks.
From India, Kolkata
Acknowledge(0)Amend(0)
I did not find anything of that sort in the appointment offer, as well as in the LFC policy, which clearly states about such pro-rata debit in the event of separation before serving the complete year in which the LFC was availed. I will re-check every line again and get back to you.
Thanks.
From India, Kolkata
Acknowledge(0)Amend(0)
A colleague of mine, after serving with a limited (deemed) company for 18 years (registered office in New Delhi), was stationed at their Mysore head office. He was retained post-superannuation at 58 years as a Retainer. However, he has not been provided with a letter of Retainership or a formal contract. He has been instructed to adhere to an attendance policy of 21 days (including casual leave and privilege leave) as per the Karnataka Shop and Establishment regulations. His remuneration is disbursed after TDS deductions from Kolkata. While the registered office operates on a 5-day working week, the Mysore office follows a 6-day schedule.
I would appreciate it if you could address the following points:
1. The required format for a Retainership/Contract outlining attendance expectations.
2. The appropriate format for claiming conveyance expenses (as he needs to attend to matters at various government departments).
3. Clear delineation of his Roles and Responsibilities.
4. Clarification on whether he should work for 5 days or 6 days considering his salary is from Delhi while he operates in Mysore.
5. Details on any additional privileges he may be eligible for reimbursement.
6. The maximum age limit until which he can continue in the company's service.
Thank you,
Hoskote Srinathbaboly
From India, Bangalore
Acknowledge(0)Amend(0)
I would appreciate it if you could address the following points:
1. The required format for a Retainership/Contract outlining attendance expectations.
2. The appropriate format for claiming conveyance expenses (as he needs to attend to matters at various government departments).
3. Clear delineation of his Roles and Responsibilities.
4. Clarification on whether he should work for 5 days or 6 days considering his salary is from Delhi while he operates in Mysore.
5. Details on any additional privileges he may be eligible for reimbursement.
6. The maximum age limit until which he can continue in the company's service.
Thank you,
Hoskote Srinathbaboly
From India, Bangalore
Acknowledge(0)Amend(0)
Your queries are answered at seriatim below:
1. Format of Retainership/Contract with attendance facilities: There is no prescribed format for the purpose. The text of Retainership agreement depends on the post, duties & responsibilities, other service conditions, etc.
2. Format of Conveyance expenses claim (he has to attend to matters prevailing in government department): You can follow the format being used for regular employees.
3. Roles and Responsibilities: This depends on what you are envisaging, and more particulars are needed.
4. Should he work for 5 days or 6 days (since salary comes from Delhi and he works in Mysore): Please clarify whether he draws salary from Calcutta as stated in the description or from Delhi as is stated now. At any rate, he has to follow the norm of Mysore where he is working.
5. What other privileges he has can be eligible for reimbursement: It depends on what you want to give him. Retainers are normally paid lesser emoluments than regular employees; you can fix any amount not lesser than the notified minimum wages.
6. Up to what period of age he can be retained in the service of the company: There is no prescribed age limit; mostly retainership is for two years (i.e., 62 years) and a maximum of up to the age of 65 years. You need to develop a proper policy defining the parameters so that uniformity is maintained.
From India, Mumbai
Acknowledge(0)Amend(0)
1. Format of Retainership/Contract with attendance facilities: There is no prescribed format for the purpose. The text of Retainership agreement depends on the post, duties & responsibilities, other service conditions, etc.
2. Format of Conveyance expenses claim (he has to attend to matters prevailing in government department): You can follow the format being used for regular employees.
3. Roles and Responsibilities: This depends on what you are envisaging, and more particulars are needed.
4. Should he work for 5 days or 6 days (since salary comes from Delhi and he works in Mysore): Please clarify whether he draws salary from Calcutta as stated in the description or from Delhi as is stated now. At any rate, he has to follow the norm of Mysore where he is working.
5. What other privileges he has can be eligible for reimbursement: It depends on what you want to give him. Retainers are normally paid lesser emoluments than regular employees; you can fix any amount not lesser than the notified minimum wages.
6. Up to what period of age he can be retained in the service of the company: There is no prescribed age limit; mostly retainership is for two years (i.e., 62 years) and a maximum of up to the age of 65 years. You need to develop a proper policy defining the parameters so that uniformity is maintained.
From India, Mumbai
Acknowledge(0)Amend(0)Engage with peers to discuss and resolve work and business challenges collaboratively - share and document your knowledge. Our AI-powered platform, features real-time fact-checking, peer reviews, and an extensive historical knowledge base. - Join & Be Part Of Our Community.
LTA (REDIFF).doc
Highest Paid HR Professionals.p df