Dear All,
I would like to know that if the employer delays payment of incentives, then what are the ways an employee can force the company to pay out the full amount.
Can the employee take any legal action against the employer before resigning ?
Please suggest suitable methods to resolve this.
From India, Delhi
I would like to know that if the employer delays payment of incentives, then what are the ways an employee can force the company to pay out the full amount.
Can the employee take any legal action against the employer before resigning ?
Please suggest suitable methods to resolve this.
From India, Delhi
Dear Ruhi Madan,
Employer-Employee relationship is that of partners of production/services and not that of competitors or rivals. Sometimes an employer may not be able to pay off the agreed incentives due to reasons like insufficient profits.So repeated reminders and persuasion would be better than embarking upon sudden legal action and this is only a general scenario. However, my inference from your post is that you intend to resign your job and on this score your employer delays payment of incentive. Since incentive is a reward for the service rendered either individually or collectively by the employee as per the scheme of incentive, legally the employer can not deny it because of the resignation of the individual. But remedial action depends upon the fact whether you are a workman or otherwise. If you are a workman, you can file a claim u/s 33C(2) of the Industrial Disputes Act,1947 before or after your resignation; otherwise Civil action is the only option. Think well before!
From India, Salem
6016Employer-Employee relationship is that of partners of production/services and not that of competitors or rivals. Sometimes an employer may not be able to pay off the agreed incentives due to reasons like insufficient profits.So repeated reminders and persuasion would be better than embarking upon sudden legal action and this is only a general scenario. However, my inference from your post is that you intend to resign your job and on this score your employer delays payment of incentive. Since incentive is a reward for the service rendered either individually or collectively by the employee as per the scheme of incentive, legally the employer can not deny it because of the resignation of the individual. But remedial action depends upon the fact whether you are a workman or otherwise. If you are a workman, you can file a claim u/s 33C(2) of the Industrial Disputes Act,1947 before or after your resignation; otherwise Civil action is the only option. Think well before!
From India, Salem
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