Termination for Asking about Deductions in Salary due to COVID 19 - what types of compensation I can claim?

Hello, I am an ex-employee of a reputed company. They have been deducting some staff members' salaries from May 2020 until this month, citing financial losses suffered by the company. When I inquired about this, the management terminated me without any notice, simply attributing it to the impact of covid-19. I had joined the company in April 2019.

What types of compensation can I claim against them as per the rules?

Dear Suraj,

A few questions related to your post:

a) The company has been deducting the salary. Was the deduction only for you, or were many others or all the employees affected?
b) Your services have been terminated. However, were only your services terminated, or were a few others also affected?
c) What yardstick was applied while removing an employee? Was it Last In First Out (LIFO) or based on performance?
d) How did you request the restoration of your salary? Was it through your HOD or independently? Were you polite? Did the personnel in the HR department perceive it as your effrontery?
e) Were you a confirmed employee, or were you still under probation?

Please provide replies to the above questions. Regardless of the responses, you are now out of a job. Therefore, it is advisable to start searching for a new one.

Your query was regarding severance pay. If you were a confirmed employee, then you are entitled to receive a payment in lieu of the notice period. To determine your eligibility, refer to your appointment letter.

Thanks,

Dinesh Divekar

The company has been deducting salary from May 2020 until this month, not only from me but also from some other staff members. There wasn't any specific method used for my termination. I asked for the deducted salary on behalf of all staff members to our head office two months ago. They informed me that salary would be regular after September or October. In September, the salary was regular for some staff, but my salary was deducted by 25%, which has been the regular deduction since May 2020. Yes, I am a confirmed employee. They are willing to pay one month's notice period salary, but I am seeking all my deducted salary from May to September 2020. Please help me.

Dear Suraj,

The paragraph (d) of your reply reads: "I asked for deducted salary on behalf of all staff members to our head office before 2 months, and they told me after Sept or Oct salary will be regular."

It appears that your company smelled a rat when you represented other staff members to the Head Office (HO). Your HO officials might not have liked your labor leader-like activities, and they have terminated you, though others are retained.

Since you have not been paid the complete salary since April 2020, you may submit an application to the MD of your company to clear the balance salary. However, wait for the receipt of the one-month salary in lieu of the notice period. Submit the application only once you receive this salary.

If your MD obliges, then well and good; otherwise, submit a reminder application after a fortnight or so. If you do not receive any reply even after your second application, then approach this forum. We will see what to do.

Thanks,

Dinesh Divekar

Dear Mr. Dinesh,

Thank you for your insight provided here. My query is if the employee is in probation and the employment rules and policies of the company state a one-month notice period in case of separation/termination, then regardless of whether the employee is confirmed or not, they shall be eligible to receive notice payment in lieu of. Furthermore, if the company's service rule stipulates double the unserved notice period by the employee, in the event that an employee under probation is abruptly terminated without being given the opportunity to serve for a month, can the aggrieved employee claim double the notice period, i.e., 2 months? What is your opinion on this matter? Please provide your enlightened views.

Thanks.

Suraj,

If you are covered under the definition of "workman" under Section 2(s) of the I.D. Act 1947 and the employer did not pay you retrenchment compensation, then you can raise an industrial dispute before the Conciliation Officer and also claim your due wages before the Authority prescribed under the Payment of Wages Act 1936.

S. K. Mittal
9319956443