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Hello Learned Members,
Please read the below case and share your valued suggestions.
A senior professional having over a good 20 years of experience joins a Pvt. Ltd company on receipt of an offer letter. During finalization stage of his selection, the MD says for a 2 years service contract from both sides. However, appointment letter despite many requests is not issued to him like other employees. The company has a serious employee attrition rate. Even HR department is no exception. In past 6 months, there are cases of at least 25 employees joined and left the Org.
This senior positioned employee performs well and gets all praises by the Mgt. However, prior 4 days to complete 6 months in service, suddenly the MD asks him to resign when the said employee tries correcting the wrong statement of the MD. The MD is in the habit of taking 6-7 hours meeting of key personnel every day together and his expectation varies every day means expectation changes every day. And all concern employees get frustration and tense as working hours are wasted daily in meeting.
There is no issue as far as performance, conduct, discipline are concerned. There is no memo/ show cause letter, etc issued against the senior employee.
When the MD asks to discontinue, this employee also stops reporting to office.
Now, in the circumstances, what dues as compensation, the employee is entitled to receive such as notice pay, leave, bonus, severance pay, etc. As appointment letter is not issued despite it is requested to be issued, what should be the notice pay to be considered here. During the 6 months working, no leave in form of EL/CL/SL is paid. Whatever 4-5 leaves taken by the employee, it was Loss Of Pay.
The MD has, from the past records, adopted firing employees after 3-4 months service.
What should be the right approach, the concern employer has to follow go forward.
Best Regards,

From India, Mumbai
Retired Government Servant/advocate
Insolvency N Gst Professional


Difficult circumstances seen in the company.
But it woulde be wiser to move n not get involved in legal battles for notice period pay.
There are no documents to support your claim.
Not even an appointment letter.
Correcting your boss is fraught with danger.
As an experienced person it would been best not to have joined without clear offer letter with terms and conditions.
How MD behaves with employees will not matter unless they also join in legal battle.
This is not battle to be taken up.
Look around for other jobs and leave this employment as a learning experience.

From India, Pune

Dear Sir,
Sad to hear the difficulties faced by you and it is unfortunate. These type of exploitation should not be tolerated. I advice you to collect the necessary document in support of your employment. At least collect the following documents:
1. Proof of the salary credited to your account by the employer.
2. Take a photocopy of the attendance register.
3. During the employment if you have sent any email in the official capacity.
4. Any PF or other account.
Dr. Navin Kumar Koodamara
Faculty of Law and Management, Manipal Institute of Management
Manipal Academy of Higher Education, Manipal, Udupi

From India, Manipala

Dear Navin Sir,
Thank you for your strong and true response.
Please note, that employee has all the documents with him as suggested by you. Please share your inputs to move forward at least to get/claim a justified dues (notice pay, bonus, leave entitled, etc) from the company. Our legal provisions don't permit employers to hire and fire without a valid reason.
Thanks & Best Regards,

From India, Mumbai

In my opinion, there certainly is a cause of action, when the employer circumstances impossible for him continue in the employment without any just cause and following the due procedure. It does not matter matter there is no appointment letter issued. However, the crucial aspect is in proving that the employee has stopped attending his duties because of the MD asking for his resignation. Otherwise, it will only be that the employee has absented himself.
From India, Kochi
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