Hi Tonmoy Dutta,
In India, the Industrial Disputes Act, 1947, including Section 25FF, deals with the rights of employees in cases of transfer of undertakings.
Section 25FF of the Industrial Disputes Act, 1947, states that in the case of transfer of an undertaking (which includes the transfer of ownership or management) from one employer to another, every workman who has been in continuous service for not less than one year in that undertaking shall be entitled to notice and compensation.
The interpretation of Transfer of Undertaking as per Section 25FF involves a few key points:
Notice: The employer is required to give notice to the employees who will be affected by the transfer. The notice period should be at least 21 days before the date of transfer.
Compensation: If the employment of any workman is terminated as a result of the transfer, the workman is entitled to compensation equivalent to fifteen days' average pay for every completed year of continuous service or any part thereof in excess of six months.
Continuous Service: For the purpose of Section 25FF, "continuous service" generally means uninterrupted service under the same employer. However, certain types of interruptions are considered permissible under the Act.
Application: Section 25FF applies to cases where there is a transfer of an undertaking without any change in its ownership or management. This means that even if your company is transferring operations to another company without selling or merging, it could still fall under the purview of Section 25FF.
Again, please consult with a qualified legal professional to get advice specific to your situation, as labour laws can be complex and may vary depending on your location and other factors.
Thanks