Labour and employment Law - resigned with mutual compromise but letter shows negative points

I worked in a company as a Deputy Manager. I joined them on 28th Feb 2018. Within a few months of joining, I had some issues with the company. On 19th June, they called me to their Zonal office and asked me to resign, to which I refused. I told them they were asking me to resign for no reason; either prove the reasons or give me 3 months' salary. After a discussion, they agreed to pay me until 31st August.

I resigned on 19th June, and they immediately accepted it, relieved me, and provided written confirmation. They mentioned my dues would be cleared after I handed over my assets and informed me that I did not need to come to work to receive my money. I went to hand over on 25th June and asked when I would receive my money. They informed me that I would not receive the money in one go; instead, I would receive it monthly, with the full August salary as the final payment. I pointed out that if they intended to pay monthly, they should issue a resignation acceptance for 31st August. They refused.

I explained that I resigned based on mutual compromise, but the letter they provided portrayed a negative image, suggesting I left due to issues with the company. Moreover, there was a discrepancy between the acceptance letter dated 19th June and the relieving letter indicating 31st August. I expressed concerns that these conflicting dates might raise doubts in the minds of potential employers and harm my job prospects. Unfortunately, they did not address my concerns, leaving me lacking confidence to attend interviews and secure a new job.

I am considering legal action against my company due to these issues. Additionally, during my employment, I had an accident while traveling between stores, leading to around 20-22 days of leave. In my full and final settlement, they deducted money for those leaves. When I explained that the accident occurred during official duty, they insisted they did not have an accidental leave policy. Could you provide guidance on the laws regarding such leaves? Are they obligated to pay me for those days of absence? I look forward to hearing from you.

It is not clear whether you got paid up to 31st August. You need not be diffident regarding acceptance of resignation in June while you were relieved from 31st August. This could be explained as the effect of the notice period. Though you gave resignation on 19th June and it was accepted on the 19th itself, but due to the notice period, your relieving is from 31st August. This is a widely accepted practice.

From the brief description, it is surmised that you were working in sales/distribution and the accident occurred while you were on duty. But such nature of work is not covered under the Employee Compensation Act 1923, and so you cannot get the benefit of that Act.

But the letter they had given me says "accepted on 19th of June" and shall be relieved with immediate effect. This means I was relieved on the 19th of June. However, after 40 days, they gave me a relieving letter which states I was relieved on the 31st of August. So, as per the above statement, if my resignation has been accepted, and I was relieved, then the agreed salary till the 31st of August should be paid in full and final in one go.

But they said, "You will get it on a monthly basis, and if you find a job in between, we will stop paying you." If I were to join a new company and provide this letter, and later, when they ask for a relieving letter stating I was relieved on the 31st of August, it might create doubt in the new employer's mind.

I hope I have been able to explain the scenario clearly.