Forced Resignation and Unpaid Dues: Can I Take Legal Action Against My Former Employer?

I was working with a Mumbai-based company since December 2015. On 23rd April 2018, they made me resign forcefully. Even though I requested them to let me complete the current month, they did not listen. They have not even let me serve the notice period. Upon asking for FNF and documents, they said that they would release them within 45 days. Now, it's been more than 50 days, but they have not released my payment. After numerous calls and emails, they sent me an email asking me to sign the no-due certificate first before they release the payment. But how can I sign the no-due certificate before receiving the dues?

Kindly suggest, can I take legal action?

Hello there,

If you want to take legal action against a company, you need to have an accepted copy of your resignation and a completed No Objection Certificate (NOC), or at least a conditional relieving letter. Full and Final (F&F) settlement may be delayed in most companies due to the need for multiple signatures and approvals. If you believe you may not receive your F&F settlement, take the necessary documentation to the labor court and file a case against the company.

Thank you.

Dear Friend,

No dues are always settled in advance. If you are uncertain about the company's intentions, you can include the phrase "Subject to realization of payment" on the no due certificate before signing it.

Warm Regards,
Bharat Gera
HR Consultant
9322404765

Dear Friend,

I understand it may not be "No Dues" but rather a clearance certificate where all the DH signed no dues means... you owe nothing. The company would not pay anything on the head of F&F until you finish clearance/no dues. Your complaint with the labor department would stand void.

Understanding the No Dues Process

The no dues process is different from what you might be thinking. During your employment, you might have been provided with an ID card, SIM card/mobile, laptop, data card, and might have obtained advances from accounts & finance, reference books, tools, etc. In this context, most companies will ask the resigned employee to obtain certification from each department confirming that there are no dues from the employee concerned. This is necessary for HR/Management to settle the employee's account.

This certification is mandatory and is generally obtained on the last working day. Without the submission of this document, the company will not provide the relieving/service certificate. However, it is unclear why this particular company is asking for the same after 50 days. I recommend discussing this issue with the HR department to resolve it.

Regards,
Kamesh