Our company was in JV now the Indian company has sold the remaining shares to outsider in view of the above should the employees ask for good will from the parent company?
From India, undefined
From India, undefined
Dear Sharan,
As per your own statement the company was a joint-venture of an Indian Company and a Foreign Company. Now there is a change in the share-holding of the Company by transfer through sale of the entire Indian Company's shares to that of the Foreign Company. Now, the Indian Company has become the wholly owned Subsidiary Company of the Foreign Company. Therefore it is a change in the constitution of the same entity without affecting the service conditions of the employees already in service. Since it is only an internal transfer of shares between the partners of the joint-venture only, it can not be treated as a transfer of the undertaking nor you've stated either any change in the service conditions of the employees or break in their service. The ship goes on along with its crew as before of course with one of the former Captains with exlclusive authority on the ship - that's all. Therefore, I think that the employees have no stake in the good will likely to be received by the Parent Company.
From India, Salem
5967As per your own statement the company was a joint-venture of an Indian Company and a Foreign Company. Now there is a change in the share-holding of the Company by transfer through sale of the entire Indian Company's shares to that of the Foreign Company. Now, the Indian Company has become the wholly owned Subsidiary Company of the Foreign Company. Therefore it is a change in the constitution of the same entity without affecting the service conditions of the employees already in service. Since it is only an internal transfer of shares between the partners of the joint-venture only, it can not be treated as a transfer of the undertaking nor you've stated either any change in the service conditions of the employees or break in their service. The ship goes on along with its crew as before of course with one of the former Captains with exlclusive authority on the ship - that's all. Therefore, I think that the employees have no stake in the good will likely to be received by the Parent Company.
From India, Salem
Dear Friend
Mr Umakanthan is absolutely correct in analysing the situation. The change in constitution of the Company is no related to employees and if it does not affect the service conditions, employees have no say in the matter.
No you can not ask for good will.
Warm Regards
Bharat Gera
HR Consultant
9322404765
From India, Thane
Mr Umakanthan is absolutely correct in analysing the situation. The change in constitution of the Company is no related to employees and if it does not affect the service conditions, employees have no say in the matter.
No you can not ask for good will.
Warm Regards
Bharat Gera
HR Consultant
9322404765
From India, Thane
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