Hi All, I was working in Bangalore startup which is registered in Mumbai.its CEO sits in US office.
I have join in march-2016 as a fresher on salary of 3 lac per annum out of which i used to get salary on 2.4 lac per annum basis and remaining 60 Thousands will be paid by company after successful completion of 1 year.
As i completed 1 year in company and company didn't had any projects i started finding job outside which i got and i resigned.
I served 1 month notice period(offer letter suggests 2 months) and joined other company.
From local Indian managers nobody restricted me from joining other company within 1 month and they also told that you will receive last month salary and final settlement in 1 month.
but now its been almost 3-4 months i am following with them and also mailed to CEO multiple times he didn't replied but today i got mail from him as below:-
"We are going through your employment contract and it seems you have not served the required notice period. The India Center should not have given clearance to your current employer either. I have moved this to a law firm and the company lawyer will respond to you regarding our next steps."
P.S :- I have already received "relieving letter" and "experience letter" from India center but not last month salary and final settlement (60 thousands).
Please suggest me should i go further and mail him or let it go as it could create problem for my current employer.
Thanks in Advance.

From India, Bengaluru
Dear Sagar,
I recommend you contacting labour office under whose jurisdiction your office came. Make a formal complaint to the labour officer. Non-payment of wages is illegal. Labour officers take stern view of this unfair labour practice.
Dinesh Divekar

From India, Bangalore
Dear Sagar,
As our learned friend Mr.Dinesh suggested you can approach the Labour Officer for getting the issue resolved, because the relieving letter has been issued to you and you have to be paid your dues.
Also check if the company has sent any notice from the legal department as informed by the CEO for giving a proper reply on it.

From India, Hyderabad
Thanks Mr Divekar For the reply.
Thanks Mr Patnaik, I am still little skeptical about labour department complaint(As don't know how things will get around there ) but have mailed back the CEO about any updates regarding Final Salary Settlement.
Thanks For Help will keep you all posted.

From India, Bengaluru
Dear Sagar,
Please do not be sceptical about the helpfulness of the labour department. They are helpful to the employees. The labour department does not get deterred by the might of the MNCs. Non-payment of wages is illegal under the provisions of Karnataka Shops and Establishment Rule, 1963 and if formal complaint is received it will not be taken lightly.
When you approach the labour officer, carry with yourself proof of your employment like appointment letter, photocopy of ID (in case if you have taken), salary slips, bank account statement etc. Try speaking in local language. If you do not know the local language then take with you someone who speaks the local language.
On receipt of your formal complaint, they will fix the meeting to hear the both the parties. Both the parties are given fair chance to prove their point. Nevertheless, in general there is invisible tilt toward employee.
Lastly, since you are taking on your ex-employer by approaching labour department, they may get incensed and they may try to botch up your Background Verification (BGV) done by the future employers. Therefore, while talking to the labour officer, explain this problem also and try obtaining good conduct certificate on the company letterhead.
All the best!
Dinesh Divekar

From India, Bangalore
Dear Sagar,
I am strongly agree with Mr Divekarji. You can sought the help of labour office of the area under which this establishment is existing. You need to check the "relieving letter" and it's contents before going to labour office.

From India, Mumbai
Dear Sagar,
You need not to worry as they cannot take any legal step against you.. As you have already confirmed that they have already given you relieving letter and experience letter. It itself suggests that you were relieved in good faith and with consonance to your employer. Their any step against it will be construed as after thought with ulterior motives to keep your money.. You are entitled for the same and do not worry Labour Department is always helpful towards employees.. Your complaint will not only entertained but they will close it once and for all and will ensure to stop any further harassment. Best of Luck...

From India, New Delhi
Dear friend,
Agreed with suggestions of above friends. You need not worry. But please go through the release letter and see if it is conditional in anyway. However your another month 's salary is not payable to you as your notice of resignation was short of 1 month as per conditions of the offer letter. Rest payments are payable to you subject to issuance of clear No Demand Certificate .

From India, Calcutta
Dear Sagar,
I think the Company involved in this issue must be one in the IT or ITES Sector. Then it it is an establishment falling under the Karnataka Shops and Commercial Establishments Act,1962. If so, the source for redressal suggested by our learned friend Mr. Dinesh is quite appropriate. Your grievances with the ex-employer are (1) non-refund of the sum of Rs.60000/= deducted from your salary even after completion of the one year service in the company and (2) with holding of your last month's salary.There is no question of being skeptical or hesitant in as much as sec.18 of the KNS&CE Act,1962 prescribes the mode of recovery of unpaid wages under the provisions of the Payment of Wages Act,1936 while S.21 of the Act enables the application of the PW Act,1936 to the employees of the shops and commercial establishments by reference. If your resignation was unconditionally accepted and you were relieved after serving one month notice period it should be deemed that your offer of one month service of notice period was accepted by the employer with waiver of the remaining one month and as such they can not with hold your last month's salary. I think the Law Firm or the Company Lawyer cited by the C.E.O would also appreciate this legal position. Even otherwise, they can not deny the refund of the deducted amount of Rs.60000/= from your monthly salary. Therefore, write back to the Company all these things. If it is not fruitful, file a claim u/s15 of the PW Act,1936 before the Authority, normally, who will be a State Deputy Commissioner of Labor for the area.

From India, Salem

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