Facing Salary Issues After Termination: How Can I Get My Due Payment?

I was working at XXX Information Services Pvt Ltd. I started my work and was there for nearly a month. After that, they were not able to give me work. When I asked for my job profile and related work, they terminated me, citing cost-cutting reasons, and did not pay my salary after 50 days, as per company policy. However, now I am contacting them, but no one is responding. I visited the company office, but they asked me to meet the director. Unfortunately, they do not know when the director is in the office.

So, what should I do?

Entitlement to Salary and Notice Pay

First, you are entitled to the salary for the days you have worked. Your termination is unfortunate and may be illegal, but challenging it might not yield much benefit since you have worked for only one month. Assuming you have accepted the termination, you will be entitled to notice pay.

Based on the above facts and circumstances, it seems you are entitled to the salary for the month you have worked plus notice pay. Please demand the same in writing (send a letter through speed/registered post). If they do not pay, you can approach a lawyer to send a legal notice against the company.

Regards

Salary Recovery through Commercial Winding Up

The salary for the work you have done is your right, and there are many means and ways to get your salary. I understand that your employer is a Pvt Ltd Company, and hence you have a very good case of recovery by way of commercial winding up. Any unpaid salary is a debt owed by the company, and to recover this debt, one may utilize the route of commercial winding up. To begin with, you may issue a commercial winding up notice to the company, and I am sure the rest will fall into place.

Thank you,

A&B

Eligibility for Earned Wages and Notice Pay

You are eligible for earned wages and notice pay if your employer has terminated or retrenched you. If you are a workman as per the ID Act, you can file a demand before the conciliation officer or file your claim under Section 33C(2) of the ID Act.

Avoiding the Winding-Up Procedure

Don't go for the winding-up procedure. Issuing a winding-up petition against a company is a legitimate and effective course of action in recovering an unpaid debt; however, there are disadvantages and circumstances where insolvency proceedings are not appropriate. The remedies are in the ID Act in your case.

Regards, P K Sharma

Dear Samarjeet,

Every unpaid salary is a debt; hence, can a winding-up petition be filed against your employer? Insolvency and commercial winding-up petitions are two different things, and it is perfectly safe to go for a commercial winding-up petition. In fact, the person would get an immediate result under commercial winding-up proceedings.

Regards,
A&B

Dear A&B,

When the remedies are available under the ID Act, then why are you suggesting a commercial winding-up petition?

P K Sharma