• Non-payment of loyalty bonus and 7 months salary

My company had during signing me up promised a loyalty bonus on completion of 3 years service. They have defaulted on that and on top of that they are 7 months behind on salaries. they have deducted for income tax but have not deposited it up for last 15 months. How can I make them pay up? The name of my company is Wind World India Limited.
Asked 8 years ago in Business Law

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7 Answers

The remedy is to issue a lawyer's notice to the company to give it an opportunity to pay the arrears of salary and also the promised bonus without the intervention of the civil court. If the notice from your lawyer does not produce the desired result then a lawsuit for recovery of money is the only solution.

Ashish Davessar
Advocate, Jaipur
30776 Answers
972 Consultations

You should file case before labour tribunal for not comply the promise made at the time of employment. This is the right forum where you can bring your case for proper and quick relief.

Shivendra Pratap Singh
Advocate, Lucknow
5127 Answers
78 Consultations

The failure of company to pay the salary does not restrict its right to enforce the non compete clause against you. However, the non compete clause can independently be challenged by you.

Ashish Davessar
Advocate, Jaipur
30776 Answers
972 Consultations

1) issue legal notice to company to pay you loyalty bonus and salary arrears

2) if company fails to pay file winding up petition against the company

3) in the alternative file summary suit to recover your dues

Ajay Sethi
Advocate, Mumbai
97000 Answers
7833 Consultations

1) any agreement in restraint is void under section 27 of Indian contract act

2) company cannot restrain you from joining another organisation after you leave the company

Ajay Sethi
Advocate, Mumbai
97000 Answers
7833 Consultations

My company had during signing me up promised a loyalty bonus on completion of 3 years service. They have defaulted on that and on top of that they are 7 months behind on salaries. they have deducted for income tax but have not deposited it up for last 15 months. How can I make them pay up? The name of my company is Wind World India Limited.

If your company has not paid your salary for 7 months, you can issue a legal notice to them demanding the salary and failing to respond you may drag the company to the labor commissioner seeking relief and remedy. For the income tax deducted from your salary, you obtain a certificate for the deductions and file your ITR accordingly. Let the company answer the IT department, it will not bother you. For loyalty bonus, you have to once again demand through legal notice only, the company may escape this liability on flimsy reason but obtain the reason for non-payment and then initiate legal action as per the provisions of law in this regard.

T Kalaiselvan
Advocate, Vellore
87201 Answers
2342 Consultations

In my appointment letter they have a non compete clause. Now that they have defaulted in the manner above can they enforce this clause if I leave the company and join a different company.

Employers use non-compete clauses to protect sensitive processes, technologies, and other trade secrets and information. The more competitive a field, the more likely employers will ask prospective employees to sign non-compete agreements. In some cases, the non-compete agreement may not even be valid or enforceable, either because it is too constricting or because of other technicalities. Furthermore, you may be able to negotiate the terms of the agreement — including the number of names of specific competitors, the breadth of the geographic scope, the amount of time, and whether the agreement goes into effect if you are downsized or fired rather than when you resign. You may also be able to win other concessions from the prospective employer for agreeing to sign the clause, such as a bonus, shorter review time for raises and promotions, or other perks.

T Kalaiselvan
Advocate, Vellore
87201 Answers
2342 Consultations

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