Facing Contract Termination Without Benefits: Should I Take Legal Action Against Tata Motors?

Dear Sir,

Please guide...

I was an employee of Tata Motors Ltd., Lucknow through a contract for the past 6 years, posted at the Jamshedpur location. Now, they have terminated my contract and are not providing my Gratuity, Form 16, Bonus, Leave encashment amount, as well as the last month's salary.

Therefore, I am planning to file a case against Tata Motors Ltd. in the Jamshedpur DLC. Should I also send a letter to the TML Jamshedpur Plant Head?

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Dear Ajay, it is not clear whether you served as (a) a fixed-term contract employee under Tata Motors Ltd., directly, or as (b) a contract laborer through any contractor. Your demands include, as per your post, gratuity, bonus, leave encashment, and unpaid salary.

Reinstatement and Dispute Process

If you are particular about reinstatement, you have to raise a dispute under section 2-A(1) of the ID Act, 1947. If not, you have to file separate claims under section 7 of the Payment of Gratuity Act, 1972 before the Controlling Authority for gratuity.

Claims for Unpaid Wages and Bonus

If your gross wages/salary per month were Rs. 18,000 or less, you have to file a claim under section 15 of the Payment of Wages Act, 1936 for unpaid wages and leave encashment before the Authority (normally a DLC). For the unpaid statutory bonus, a claim under section 21 of the Payment of Bonus Act, 1965 with the Government is necessary.

Legal Remedies Against Employers

In case your position falls under (a), all the above remedies will lie against Tata Motors Ltd. only. In case of (b), they would be against both Tata Motors and the contractor concerned. My suggestion would be to raise a dispute under the ID Act and get all the claims settled as a single package by way of a settlement before the Conciliation Officer.

Thank you very much, sir, for your valuable suggestion.

I am on the payroll of Tempindia Staffing Services Ltd. in Gurgaon for a six-month contract, and it is renewable after six months for up to 5.5 years. It is a manpower consultancy.

I want to file a case in Jamshedpur DLC. Should I send the notice to the Jamshedpur Plant or Lucknow Plant because I am an employee of Lucknow TML?

Dear Mr. Ajay,

You have to raise a dispute against your employer. However, you can also make Tata Motors a necessary party by virtue of them being your principal employer. Before rushing into raising a dispute, ensure that you submit your claim to your employer.

Dear Friend,

1. The first question is: Do you want the job or are there any dues pending? What position were you employed in - were you a supervisor or a worker?

2. If you were a worker, you can raise an industrial dispute against your employer for wrongful or illegal termination and seek reinstatement at the office of ALC/DLC, whichever is applicable.

3. If you do not want the job, you can follow the advice of Mr. Umakanthan as mentioned above.

Warm Regards,

Bharat Gera
HR Consultant
9322404765