Ex-Employee Suing After Being Fired: How Can We Protect Our Company?

Dear Professional,

The management fired an ex-employee from the company last month and settled with full and final payment. However, the ex-employee has initiated legal action in response. We seek your guidance on how to safeguard the company in this situation.

Your legal advice on this critical matter would be greatly appreciated.

Thank you.

Hi,

What is the reason for termination and whether the disciplinary process was followed properly?

Even after clearing FFS, why is the employee challenging the company?

If the termination is for misconduct, did the employee accept his mistake? Was any apology letter taken from the employee?

Where the dismissal was due to misconduct against superiors, it was legally necessary to follow the principles of natural justice in taking punitive action. It appears the process was not followed. So, in the event of the employee challenging the punishment in a court of law, engage a good advocate experienced in labor law matters to defend the company. It is advised that in replying to such a petition, list out all the misdeeds and specifically seek an opportunity to prove the misconduct on merits before the court. If the same is done properly, you will be able to emerge unscathed from this.

If you need legal advice, then talk to your company's legal advisers. That's what you pay them for—to keep the company safe and protected.

Hi, first of all, what is the category of that employee? Is he a workman or an executive? If a workman, for any misconduct, the disciplinary procedure should have been followed, i.e., the issuance of a show cause notice, a reply from the workman (if he provides one), the issuance of an enquiry notice, and conducting the domestic enquiry as per procedure, duly following the principles of natural justice. After receiving the enquiry report, issue a second show cause notice, and after obtaining an explanation, issue the final dismissal order. These procedures are very important to be followed.

If he files a petition before the Conciliation Officer, you can file a reply statement, and the Conciliation Officer will send a failure report after hearing both parties. The workman will have the option to raise an industrial dispute under Sec.2A of the ID Act. You can then engage an advocate and defend the case. Keep the record properly and identify the witnesses to be examined if the dispute goes to court.