Is It Fair for Employers to Delay Salary for Months After Resignation? Let's Discuss

Employment and Notice Period Concerns

I am currently employed at an IT company in Bangalore, working as a contractor for an MNC. I started my employment on 26th March 2019 and resigned on 22nd April 2019. My company informed me that I would need to serve a notice period of 60 days. However, to date, they have not paid me for the 6 days in March and the 30 days in April.

When I inquired, they mentioned that they would pay after the Full and Final settlement, which is scheduled 45 days after my last working day. This implies that I will have to wait for my salary for 4.5 months. Is it acceptable for employers to withhold salary for such an extended period, considering the hardship it places on employees?

Notice Period Requirements

Moreover, given that I resigned within 6 months, can they require me to serve a 2-month notice period? Other employees in the same company have a probationary period of 2 months and a notice period of 1 month.

Thank you.

Misconception about F&F Settlement Time-Limit

I am constrained to state that there is a misconception about the time limit of F&F settlement of dues of employees upon their termination of employment based on the practice or policy followed by every employer. Considering the fact that F&F Settlement comprises all the dues to the exiting employee, which can be statutory or contractual, every such due has a separate time limit for its disbursement.

For example, wages/salary, being the agreed monetary compensation for the services already rendered by the employee, have to be paid immediately on the next working day after the day of exit. Gratuity is to be paid within 30 days from the date of termination of employment. All other dues, like encashment of leave, etc., have also to be settled immediately after termination.

Therefore, if any timeline is fixed due to administrative convenience, it does not in any way absolve the employer of his liability to comply with the statutory time limit for disbursement of each head of dues so that he can effect settlement all in a single go after the expiry of 30 days or 45 days, etc. Every item of due has to be paid exactly within the due date fixed for it individually.

Hi Umakanthan,

Thank you for your reply. One more thing I forgot to mention: they have created a false payslip for April 2019, which included March data as well. They have shown a loss of pay for 35.8 days.

Kindly guide me on how to resolve this issue.

Thank you.