Facing Early Dismissal and Unpaid Dues: What Legal Steps Can I Take Against My Employer?

I wish to shed light on an incident wherein I resigned from my job on 11th March 2025. Despite numerous attempts at contacting the HR department to establish a provisional last working day, I encountered unprofessional and offensive conduct from an HR representative.

I then escalated the issue to both the Director and CEO, who confirmed my last working day as 15th April 2025. According to the terms stated in my offer letter, I was obligated to serve a 90-day notice period. Contrarily, I was dismissed earlier without my agreement, and without any explanation or compensation for the remaining notice period.

Furthermore, I have not yet received my Full and Final (FnF) settlement, which they assured would be provided within 45 to 60 days. Despite my multiple follow-up emails, there has been no response or resolution regarding my outstanding dues. I am looking for advice on potential legal actions that can be taken against the public sector unit.

Dear M Sharma, you need to challenge this matter in court. You should file an FIR against the person who is the HR manager if you have the financial and political strength. Consult a good lawyer with all the correspondence you have had and send a lawyer's notice in the name of HR if he had signed your termination.

Based on your situation, it seems you may have grounds for a case of wrongful termination and for withholding your full and final settlement. Here are the steps I recommend:

1. Documentation: Gather all related documents, such as your offer letter, resignation letter, and any communication you've had with HR, Director, or CEO regarding your termination and full and final settlement. This will serve as evidence in your case.

2. Legal Consultation: Consult with a labor law advocate. Discuss your situation in detail and provide them with the evidence you have gathered. They can guide you on the appropriate course of action based on local labor laws and regulations.

3. Legal Notice: If advised by your lawyer, send a legal notice to your previous employer seeking an explanation for your untimely termination and the delay in your FnF settlement.

📝 Note: It is crucial that this notice is drafted by a legal professional to ensure it is correctly formulated and includes all necessary details.

4. Filing a Complaint: If there is no satisfactory response within the stipulated time, you can file a complaint with the local labor commissioner's office or labor court. Your lawyer can guide you through this process.

5. Court Proceedings: If the matter goes to court, be prepared for the proceedings. Ensure you attend all hearings and abide by the court's directions.

Remember, it is crucial to take these actions promptly to avoid any statutory limitations that might apply. You can also check the Ministry of Labour and Employment website https://labour.gov.in for more information on labor laws in India.

Your last working day was 15th April, and today is 22nd April. They mentioned they would settle it within 45 days, and even the next payroll is not yet processed. Why are you in a hurry to file a legal case without first seeing if they pay your salary by the end of this month?

Legal cases can take a long time, and public sector units have substantial resources for legal representation. I suggest you wait until the end of the month. If they do not pay your salary, approach the CEO again.

You have not disclosed the type of organization you were in. However, if you were covered by the Payment of Wages Act and worked in a factory, they are required to pay the wages within two days. Even if they do it at the end of the month, I don't think taking legal action makes sense.

Your situation indeed sounds distressing. However, I agree with the previous response to some extent. The legal recourse can be time-consuming and expensive. However, it's important to understand your rights under the Indian Labour Laws as well.

Step-by-step Approach:
1. Please ensure you have all the documents related to your employment and termination, including your offer letter, termination letter, and any written communication with the HR or the CEO.

2. If the company fails to clear your Full and Final settlement within the mentioned 45 to 60 days, then you should consider sending a formal legal notice to the company. You can consult an employment lawyer who can guide you with the process.

3. If there's still no response or resolution, you can file a complaint with the local labour commissioner. The complaint should contain all the details of the employer and the grievance.

4. In case the company still does not comply, you can approach the court for your dues.

References to Labour Laws in India:
According to the Payment of Wages Act, 1936, if a company has less than 1000 employees, the wages have to be paid before the 7th day of the end of the wage period, if it has more than 1000 employees, then before the 10th day. In case of termination, the dues need to be cleared within two working days.

Also, note that non-payment of salary is a violation of the Indian Penal Code (Section 403) and can lead to imprisonment.

I hope this gives you a clearer idea of your rights and the steps you can take. Remember, it's important to consult a legal professional before taking any steps. It's also worth noting that the laws may vary depending on the specific nature of your employment and the sector you were working in.

A deeply troubling incident unfolded when I voiced a complaint against HR to both the CEO and Director within the same email. My concerns were acknowledged, and I was asked to provide evidence. Subsequently, I submitted a call recording showcasing HR's abusive behavior towards me. Upon receiving this evidence, the CEO unilaterally decided to mark April 15th as my Last Working Day (LWD). At no point had I requested an early release, and neither an apology nor a statement of regret was issued by HR or the company.

The company, which comprises fewer than 100 employees, temporarily removed HR from her role, only to reinstate her following my departure. It's worth noting that HR, the CEO, and several employees are all part of the same family, indicating a tight-knit structure within the company. When I asked for my notice pay, I was informed that the decision to serve notice or terminate employment is solely at the discretion of the management and the company.

Dear M Sharma,

Asking for your notice pay was quite judicious. What you have been informed by your HR regarding termination without notice pay is misleading. The decision to serve notice, not serve notice, or terminate with notice pay is at the discretion of the company management. Terminating an employee without a proper disciplinary inquiry violates the principles of natural justice, including the right to a fair hearing. The Supreme Court has consistently ruled that such terminations are invalid, especially when they involve an element of stigma.

It appears that you have been unjustly terminated without proper notice or compensation for your notice period. You also mentioned that you have not received your Full and Final (FnF) settlement yet. Here is a step-by-step guide on the legal actions you can take:

1. File a complaint: Your first step would be to lodge a complaint with your local labor commissioner's office. The labour laws in India protect employees from unjust treatment.

2. Legal action: If your organization continues to ignore your pleas, you may need to take legal action. You can file a case in the labor court.

3. Documentation: Make sure to keep all your documents handy. This includes your offer letter, emails or any other form of communication where the terms of your employment and termination were discussed.

4. Legal counsel: Hiring a lawyer might be beneficial. They can guide you through the procedures and ensure your rights are protected.

5. Patience: Legal matters can take time to resolve. Be patient but persistent.

Remember, your rights as an employee are protected under the Indian Labor Laws. You can check the [URL]https://labour.gov.in/[URL] for more information on these laws.

Additionally, always ensure any agreements about your employment, including notice periods and termination terms, are in writing to avoid such situations in the future.

Hope this helps, and best of luck with your case.