Dear Sir/Madam, I joined a private limited company in Hyderabad on July 16, 2016. At the time of joining, they asked me to surrender my 10th and Diploma certificates, which I did. Now, my company is struggling to pay salaries and cover expenses incurred for the company. As of last week, I received my June salary, but I have not received my July salary, and the expenses I incurred for the company have not been reimbursed since April 2019. My company is now causing me mental distress by asking me to visit customer locations without reimbursing expenses. I was on-site and spent money from my pocket for the company.

Despite bringing in a turnover of 1.20 crore in the first quarter of this year, my company is treating me very arrogantly. They are asking me to come to Hyderabad for a meeting, but I informed them that I do not have the money to travel there. Their response was very arrogant, stating that if I fail to reach the Head Office, they will terminate me and refuse to pay my dues. They have also refused to return my certificates.

My questions are as follows:

1. Can a company legally hold an employee's certificate?
2. Due to my company's delayed payments, I have failed to pay my EMIs on time, resulting in my home loan account becoming non-performing. This has caused mental distress. How can I retrieve my certificates and dues from my company?
3. What legal recourse do I have against my company?

Thanks and regards,
BK

From India, Chennai
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Employer's Rights and Employee's Recourse

An employer can demand the submission of original certificates of educational qualifications from a newly appointed person for verification purposes. They should provide official acknowledgment for their receipt, keep them for a reasonable time for verification, and return them as soon as the process is complete. No employer can hold them indefinitely or use them as leverage for employment-related issues.

Non-Payment of Wages

Non-payment of wages or salary, amounting to delay or denial, is an offense under the Payment of Wages Act, 1936, as well as a breach of the contract of employment. An employer who fails or refuses to pay the incidental expenses related to the discharge of duties cannot penalize the employee for non-performance or underperformance.

Politely request the company to return your original certificates and clear all your dues. If they fail or show no response, make a complaint to the Labor Officer for the area of your workplace and file a claim under Section 15 of the Payment of Wages Act, 1936, before the Deputy Labor Commissioner, who is the authority under the Act for recovery of dues if you are a workman under Section 2(s) of the ID Act, 1947, and your monthly gross salary/wages are Rs. 24,000/- or less.

If you are not a workman and are prepared for legal action, you may send a legal notice through a lawyer to file a civil suit against the company for breach of the contract of employment.

From India, Salem
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nathrao
3180

The act of the company in retaining original documents is highly irregular. Keeping original documents as security to prevent people from absconding or leaving is not as per the laid-down laws. If an employee breaches the job contract, the company has legal remedies of damages and specific performance, etc. Send the company a legally drafted letter, but signed by you, asking for documents back or file a civil suit. It is time-consuming, but otherwise, there is no way to obtain your documents.
From India, Pune
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