Dear All,
My brother was working in a small private company with 90+ employees as a Manager/Supervisor and has resigned now.
The company has transferred a certain amount to his bank account and is refusing to provide the Full & Final settlement computation details.
My brother insisted on this document as he is unable to know whether the settlement amount transferred is correct or not.
When my brother asked for Separation policy or Separation process, the company replied - Since ours is a small company, we neither have a Separation policy nor a Separation process nor any such defining documents. Whatever we decide on a case-by-case basis is our final decision.
The company has replied as follows:
(a) Under which Indian Law or Act is the Company COMPELLED to provide the Full & Final Document?
(b) Under which Indian Law or Act does the Company have to follow certain Norms or Methods to prepare the Full & Final Document?
(c) Since you are in a Managerial role, there is no Law or Act that can COMPEL the Company to provide the Full & Final Document.
(d) So, whether you were working/present in the office for all 27 working days in a month or not does not matter. It is the Company's prerogative to pay you for 15 days as "settlement." Take that and go away. You can't question us, nor can you challenge us legally.
IS THIS TRUE? CAN SOME EXPERT THROW SOME LIGHT ON THIS?
ARE THERE ANY LAWS/ACTS THAT GOVERN FULL & FINAL SETTLEMENT FOR PEOPLE IN MANAGERIAL ROLES?
IF THIS IS TRUE, THEN HOW DANGEROUS AND HELPLESS THE RESIGNED EMPLOYEE BECOMES.
From India, Bangalore
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2My brother was working in a small private company with 90+ employees as a Manager/Supervisor and has resigned now.
The company has transferred a certain amount to his bank account and is refusing to provide the Full & Final settlement computation details.
My brother insisted on this document as he is unable to know whether the settlement amount transferred is correct or not.
When my brother asked for Separation policy or Separation process, the company replied - Since ours is a small company, we neither have a Separation policy nor a Separation process nor any such defining documents. Whatever we decide on a case-by-case basis is our final decision.
The company has replied as follows:
(a) Under which Indian Law or Act is the Company COMPELLED to provide the Full & Final Document?
(b) Under which Indian Law or Act does the Company have to follow certain Norms or Methods to prepare the Full & Final Document?
(c) Since you are in a Managerial role, there is no Law or Act that can COMPEL the Company to provide the Full & Final Document.
(d) So, whether you were working/present in the office for all 27 working days in a month or not does not matter. It is the Company's prerogative to pay you for 15 days as "settlement." Take that and go away. You can't question us, nor can you challenge us legally.
IS THIS TRUE? CAN SOME EXPERT THROW SOME LIGHT ON THIS?
ARE THERE ANY LAWS/ACTS THAT GOVERN FULL & FINAL SETTLEMENT FOR PEOPLE IN MANAGERIAL ROLES?
IF THIS IS TRUE, THEN HOW DANGEROUS AND HELPLESS THE RESIGNED EMPLOYEE BECOMES.
From India, Bangalore
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Please share more about the Brother job, responsibilities, work nature & Company Details
From India, Pune
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From India, Pune
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He has worked as Chief Manager - Operations reporting to the MD. His responsibility was to manage day-to-day operations of the business, employees/teams, and carry out day-to-day instructions given by the MD. He was kind of number two to the MD. This is because MD had circulated an email to all employees to report to my brother and approach him for any official issues.
The only problem that my brother faced was that every day, the MD would change the instructions given. What he said in the morning changed in the evening, and what he said in the evening changed in the morning. This was creating confusions, frictions, stress, and hindering his work on hand and progress. He has discussed this problem a couple of times at home with us.
This company is a small private limited company with over 90 employees. I was told that the MD always maintains the employee count under 99, and a few (4/5) people were on contract. There are 95% women staff and 5% male staff.
This company is into BPO/KPO services in the IT & ITeS sector.
From India, Bangalore
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The only problem that my brother faced was that every day, the MD would change the instructions given. What he said in the morning changed in the evening, and what he said in the evening changed in the morning. This was creating confusions, frictions, stress, and hindering his work on hand and progress. He has discussed this problem a couple of times at home with us.
This company is a small private limited company with over 90 employees. I was told that the MD always maintains the employee count under 99, and a few (4/5) people were on contract. There are 95% women staff and 5% male staff.
This company is into BPO/KPO services in the IT & ITeS sector.
From India, Bangalore
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Details of F&F must be given. The problem is, due to his designation, he can't seek legal remedy. If there is a discrepancy that your brother sees, he should write in detail what he should have gotten. Lest he may file a civil suit for the recovery of the additional amount.
From India, Mumbai
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From India, Mumbai
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Dear Krishna,
Your brother was employed as a "Manager" in a company employing about 90 employees and submitted his resignation. Has the resignation been accepted, and has he been officially relieved from the service? Has the employee handed over charge? Furthermore, you have not furnished the date of joining and the date of leaving. You have mentioned that a certain amount has been transferred to the employee's account. Are there any legal dues to the employee?
It is surprising that despite being employed as a "Chief Manager," your brother is not able to work out the amount due to him. It appears your grievance pertains to the non-receipt of the "Full & Final Settlement Statement." Please furnish details about the company, nature of activity, and location.
From India, New Delhi
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Your brother was employed as a "Manager" in a company employing about 90 employees and submitted his resignation. Has the resignation been accepted, and has he been officially relieved from the service? Has the employee handed over charge? Furthermore, you have not furnished the date of joining and the date of leaving. You have mentioned that a certain amount has been transferred to the employee's account. Are there any legal dues to the employee?
It is surprising that despite being employed as a "Chief Manager," your brother is not able to work out the amount due to him. It appears your grievance pertains to the non-receipt of the "Full & Final Settlement Statement." Please furnish details about the company, nature of activity, and location.
From India, New Delhi
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1. He was the permanent employee from day one. No probation for him as per his contract.
2. Yes, he submitted his resignation on March 30th. The resignation was accepted, and he was relieved on the same day.
3. The notice period was waived off. Although my brother was willing to serve, the MD said it has been waived off.
4. There was no gratuity, and PF is what was told to me.
5. Yes, only after a satisfactory handover for 4 hours, he was provided with a relieving letter, with the 30th date mentioned.
6. The first-month salary for February was paid properly.
7. For the second month, March salary, the MD said it will be paid on April 7th as part of the full and final settlement.
8. He has availed 2 days of Sick Leave in 2 months.
9. On April 18th, a certain amount was transferred which amounts to approximately 20 days of his salary.
10. Repeated requests for clarity on the deductions have gone unanswered from that company.
11. The full and final settlement computation is also not being provided for clarity's sake.
It is not that he did not know how to work out the separation; he comes with over 20 years of work experience, and in his previous stints, he has served very long periods like 8 years, 5 years, and 7 years, respectively, before joining here as Chief Manager. Unfortunately, after exactly 2 months, he had to quit. Nowhere else has he faced this problem.
When two individuals disagree and a difference of opinion crops up, these kinds of strange situations get created. Since this is a small private company with over 90 employees, there seems to be no separate HR department, and the MD himself is handling the subject. Unfortunately, the disagreement is with the MD himself.
From India, Bangalore
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2. Yes, he submitted his resignation on March 30th. The resignation was accepted, and he was relieved on the same day.
3. The notice period was waived off. Although my brother was willing to serve, the MD said it has been waived off.
4. There was no gratuity, and PF is what was told to me.
5. Yes, only after a satisfactory handover for 4 hours, he was provided with a relieving letter, with the 30th date mentioned.
6. The first-month salary for February was paid properly.
7. For the second month, March salary, the MD said it will be paid on April 7th as part of the full and final settlement.
8. He has availed 2 days of Sick Leave in 2 months.
9. On April 18th, a certain amount was transferred which amounts to approximately 20 days of his salary.
10. Repeated requests for clarity on the deductions have gone unanswered from that company.
11. The full and final settlement computation is also not being provided for clarity's sake.
It is not that he did not know how to work out the separation; he comes with over 20 years of work experience, and in his previous stints, he has served very long periods like 8 years, 5 years, and 7 years, respectively, before joining here as Chief Manager. Unfortunately, after exactly 2 months, he had to quit. Nowhere else has he faced this problem.
When two individuals disagree and a difference of opinion crops up, these kinds of strange situations get created. Since this is a small private company with over 90 employees, there seems to be no separate HR department, and the MD himself is handling the subject. Unfortunately, the disagreement is with the MD himself.
From India, Bangalore
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Full n final settlement.doc