Facing Unfair Salary Rules and Job Insecurity: How Should We Respond?

Hi, I have been working at an IT company for almost 2 years. Since the beginning, we have faced many problems with our employer. There are no HR policies, no leaves, no salary hikes, and they hold original certificates and require signed bonds.

During the interview and upon joining, I agreed to a monthly salary amount which would be paid on a monthly basis.

Introduction of New Rule

Recently, our management introduced a new rule that is not acceptable: "If any employee doesn't meet the performance standards in a month, the salary will not be paid." I am wondering what kind of rule this is, as most of our colleagues are unhappy with it. How can they measure an employee's performance? With this rule, they could take advantage and withhold employees' salaries. We have even heard rumors that our employer is facing bankruptcy.

Dilemma of Continuing or Quitting

In these conditions, if we plan to quit, they do not relieve us. On the other hand, if we continue to work, there is a chance our salary could be skipped by citing performance reasons. I have a family and financial commitments, so I cannot continue with this job under these conditions. I would appreciate valuable suggestions.

Legality of Mid-term Rule Changes

Can these types of rules be introduced in the middle? They neither relieve nor pay our salaries.

Depending on the number of employees engaged by the organization, it has to pay salaries by the 7th or 10th day of the following month. If it doesn't, it contravenes the Payment of Wages Act. Aggrieved employees can lodge a written complaint with the labor office of the area. The payment is not based on whims and fancies of the management.

Since you are an IT company, the State Shops Act is applicable to you. Please download the act and know the duties of the employer towards its employees.

These companies are taking advantage of job shortages.

What you wrote about retention of original certificates, delayed salary payments violates the law. If you complain, you will lose your job, but do you have any alternatives?

Go to the Labour officer with a written complaint and annex documents in support while looking for another job.

If what you described is true, all the actions of the management are unfair labor practices. I wonder why all the employees simply watch these things as mere spectators. Even illiterate inter-state migrant workmen employed in strenuous physical labor take to the streets and protest against such injustices, drawing the attention of the authorities. With your high level of education and excellent communication skills, you and your colleagues should not wait for the law to intervene; you must take initiative. Submit a joint memorandum to the State Labor Department and seek the support of the state's prominent trade unions.

Handling Unfair Labor Practices

First of all, you are advised not to sign any such document from management to retain your job. It seems that all the employees are either not united or lack unity, which allows your management to impose unfair rules and create opportunities for unfair labor practices. You should write an email or letter to the HR Head requesting the return of all your testimonials in their custody. If they are not returned within the stipulated time, you should consider lodging an FIR against the HR Head.

Furthermore, if the management does not pay wages by the 7th or 10th (as the case may be), you should approach the labor office in your area and lodge a complaint against the management under the Payment of Wages Act.

Our senior members have already provided their suggestions and views on the matter. It is often said, "If you are not mine, how can I be yours?" Be prepared to retaliate, and make use of print and electronic media as your tools to achieve your goals.

Best regards,
[Your Name]

Hi All,

Thank you for all your valuable suggestions. Recently, I had a discussion about my performance. They verbally abused me, and my MD used a couple of bad words. I defended myself, but they told me that they wouldn't let me go, and they warned me that they would file a false case against me, accusing me of stealing their software.