How to Handle a Company Withholding Salary and Gratuity After Resignation Without Proper Documentation?

Dear Sir/Madam, I have completed 7 years in a Pvt. Ltd company where I have not received any offer letter or confirmation letter from the company. Now I am resigning from the company, but they are insisting on a notice period of 2 months. I have given them only 5 days' notice and left the job. However, they are now withholding my salary and gratuity amount. Our company did not deduct any PF or ESIC amount from the salary. Please suggest the next course of action against the company.

Gratuity and Legal Remedies

As regards gratuity, there is a statutory remedy. You may approach the Labour Officer of the local area where your unit is located and raise this grievance. He is the statutory authority and can enforce the legal provision.

Notice Period and Company Policy

Though there is no appointment order or confirmation order, they would have the policy of a notice period, yet they need to circulate it to the employee. Do you have any idea how they dealt with similar matters?

Accumulated Leave and Notice Period Adjustment

With seven years of service, you would have accumulated leave (other than casual leave). Offer it to adjust against the deficient notice period; at any rate, they would not be paying you.

Final Steps for Gratuity and Dues

If everything fails, prepare separate applications for gratuity as well as other dues and submit them to the Labour Officer for further action with your employer.

Thank you KK San, in this case, the company is stating that after 240 days, the assumption is that every employee is confirmed in the company. They have given me incentives and leave in the last 7 years. Can I still apply legal notice against the company?

Understanding Service Confirmation

240 days of service, legally speaking, does not confer confirmation in service. That is a managerial prerogative and is to be conferred by a specific order to that effect.

You can resort to legal action if everything else fails.