Facing Anonymous Salary Cut Complaints: How Should We Handle the Inspector's Visit?

Handling Anonymous Complaints of Salary Cuts

An inspector is approaching our company, stating that he has received anonymous complaints alleging that we have cut the salaries of employees during the pandemic period.

How can we handle this situation? I thought, according to the Supreme Court ruling, the government cannot force employers to pay full wages if the business is shut down. How do we address this issue, given that we are already experiencing poor business conditions and have not reduced staff due to the pandemic?

Please advise.

Please write a letter to the concerned authority with an enclosure of the court order, stating that full wages should be paid for the working days during the lockdown period.

Thanks.

Handling Anonymous Complaints from Inspectors

You may seek a copy of the complaint received so that you can submit a factual reply to it. An inspector making a vague complaint is indicative of hidden interests. It would be better to apprise the State Labour Commissioner or the higher authorities of the factual position.

Dear Anil,

Apart from the Supreme Court's ruling on the orders of the Government of India directing employers to pay full wages to their employees during the State-imposed lockdown, in my opinion, since the National Disaster Management Authority had already declared the COVID-19 pandemic as a notified disaster, even the provisions of lay-off cannot be applied to the lockdown period to pay lay-off compensation to the affected employees. Of course, if the financial condition permits, any employer can take care of their employees during such an inevitable calamity on the grounds of humanitarian considerations. But when the status quo continues indefinitely or intermittently, naturally, every employer would also be in trouble. Therefore, if an employer fails to pay wages for the lockdown period, no legal action can be taken against them as this is a situation of a notified disaster beyond an individual employer's control and capacity.

If any notice is received regarding this matter from the enforcement officials of the State/Central Labor Department, kindly submit a suitable reply accordingly.

I also feel that the Inspector may have some personal interests. However, if the Inspector has received a complaint from an employee stating that their salary has been reduced while others' salaries have remained the same or increased, then there is validity to the complaint. While the crisis faced by an employer is understandable, reducing the salary of a single person is unfair.