Facing Legal Threats from an Employee Without an Appointment Letter: What Are Our Options?

Employee Termination and Legal Concerns

My brother owns a franchise of a fashion designing institute, which is just one year old. He hired a counselor for student admissions and other office work. The employee worked until 17th March 2020 and applied for 15 days of leave as her mother was ill. There was a lockdown in Maharashtra from 24th March 2020. After the 15 days of leave, we messaged her to see if she could come on 15th April and join, as she was the only employee working. She denied, stating that the transportation was closed and she couldn't come. We agreed. However, during that period, without informing the director, she was conducting online classes even though she was never asked to work from home. When my brother found out, he asked her why she did not inform about the online classes. She replied unprofessionally. Based on discussions with the head of the franchisee and my brother as the owner, we decided to terminate her due to unprofessional behavior and absenteeism in May 2020.

Salary Dispute and Threats of Legal Action

We are prepared to pay her salary for March 2020 for the number of days she worked, which amounts to approximately 20,000 INR as her full and final settlement. However, she is now demanding 65,000 INR, which includes her March, April, and May salaries, leaves, and incentives. We disagree with her calculation and are willing to pay her the actual amount of her salary. Now, she and her father are threatening us, saying they will take legal action, which they claim could be dangerous for us.

Key Points

1. We never issued her an appointment letter as we are still in the process of implementing policies.
2. She had submitted a written leave application, which she now claims she was forced to take.
3. We are willing to pay her the actual salary for the days she worked in March.
4. During a discussion, she took photos from an inquiry file without the director's permission, which contained confidential admission data.

Legal Advice Needed

In this situation, can she file a legal case against us in the labor court? If yes, on what grounds? How should we proceed for a smooth closure? Please provide your best advice. Thank you for your valuable time.

Hello,

Your situation seems a bit complex, but I'll try to provide some guidance based on the information you've provided.

1. 🗉 Appointment Letter: In the absence of an appointment letter, it might be a bit tricky to prove the terms of employment in court. However, if you have any communication records such as emails or messages that outline the terms of employment, they can be used as evidence.

2. 🔉 Absence and Unprofessional behavior: The absenteeism and unprofessional behavior can be grounds for termination, especially if you have evidence of these. However, the online classes she took could be viewed as her attempting to continue her work, even though she was not specifically asked to do so.

3. 🠰 Salary Calculation: You are right in your stance to pay her for the days she worked in March. If she did not work in April and May, you are not obligated to pay her. However, you should also consider if there were any provisions for paid leave or any other benefits that she might be eligible for.

4. 🉈 Unauthorized Photo: Clicking photos of confidential data without permission can be viewed as a breach of trust and can be used as a reason for termination.

Here are a few steps you can take:

➡️ Step 1: Consult a labor law expert: This situation could potentially lead to a legal issue, and it's best to consult with a labor law expert who can guide you based on the local laws in Pune.

➡️ Step 2: Document everything: Ensure you have a proper record of all communications and incidents related to the employee. This can be crucial if the matter proceeds to court.

➡️ Step 3: Communicate professionally: Continue to communicate with her in a professional and respectful manner. Make sure you explain your position clearly and stick to the facts.

➡️ Step 4: Consider mediation: If the situation does not resolve, consider mediation before it escalates to court. This could help you reach a mutually agreeable solution.

Remember, it's always better to have proper documentation and follow local labor laws to avoid such situations in the future.

🗁 In the future, ensure to issue appointment letters to all employees and have a clear policy on leaves, working from home, and professional conduct. This could help avoid misunderstandings and disputes.

While it's not possible to predict whether she will file a case or not, being prepared and seeking professional advice will definitely help you navigate this situation.

I hope this helps!