Facing Legal Hurdles: How Can I Secure My Pending Salary After Joining a Competitor?

Hi Experts, I have worked with one of the well-known organizations, where I resigned from my duties after completing and serving the notice period. I have completed the handover process, surrendered all assets, finished all formalities, and obtained clearances from all departments. I have a copy of the resignation acceptance, the last working day, and the exit formality completed as per company norms. Now, after two months of follow-up, I received my full and final schedule from HR. At the time of payment, HR stopped my pending salary and sent me a legal notice regarding joining a competing company.

How can I get my pending salary and full and final payment?

How can an employer prevent someone from joining a competitor?

Please help me here.

Regards

If you do not have a non-compete clause in your agreement, you can file a complaint with the area labor inspector under the Shops & Establishments Act of your state. Additionally, if you are not a manager, you can also refer to the Payment of Wages Act. For further guidance on drafting a valid employment contract, you can refer to the article "Things To Remember While Drafting A Valid Employment Contract" at [Shram Samadhan](http://www.shramsamadhan.com/p/blog-page_16.html).

Yes, this is a very good query and an excellent example of harassment trends in some ill-fated companies using unfair labor practices.

Problem-Solving Solution

Once the company has approved any employee's permanent departure (accepted resignation) in writing, it is no longer concerned with where the former employee chooses to work. The old employer has no authority over the new livelihood choices of the departed employee. In this scenario, if the former employee joins a competitive company or starts their own venture similar to their previous work, the old employer cannot take any action. In a democratic country like India, the freedom of livelihood is a right of Indian citizens. So, there is no need to worry. The old employer has limited power in your new job. If there are any unfavorable actions from the management, seeking assistance from the Labor Department or Authority court could provide you with financial benefits in the form of penalties imposed on the employer. All the best.