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Verbally contract of employment - how can we proceed legally? - CiteHR

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Anonymous
5

Dear Seniors, Pls let me know in absence of offer letter & appointment letter how can we proceed legally. Whether verbally contract of employment can be legally stand? Thanks Prachi
From India, Jaipur
ravind7@gmail.com
15

Dear Anonymous,
Its always wise to have a contract of employment as this will safeguard your interest as an employee. Even if you don't have an offer letter its still fine but you must have an Appointment letter covering few important terms of employment-
1. You nature of work.
2. Salary to be paid to you and date of salary day.
3. Your leave / medical entitlements.
4. Deductions to be made from your salary.
5. Your official work hours.
Having an official letter from your employer is a legal requirement.
Regards,
Ravin

From Malaysia, Kuala Lumpur
umakanthan53
5967

Dear Chauhan,
In the unorganised sector like Shops and establishments, hotels etc., generally, no practice of issuing written appointment orders to the newly employed employees any time on their joining or thereafter has been followed by the employers. In such cases, there is an implied contract of employment only exists between the employer and employee. Of course, when any dispute arises between the parties regarding the very fact of employment, it is to be established by means of other documentary evidence like wage slips, service cards and the like in the possession of the employee.

From India, Salem
Anonymous
5

Dear umakanthan sir,
Pls clarify :- legally is it mandatory to execute the contract of employment like appointment letter & term of employment defined therein. is there any section, clause which state that appointment letter must to be execute with regard to newly employee. Or any case law for the same.
Thanks

From India, Jaipur
Prashant B Ingawale
467

Dear Annonymous,
Please refer Contract Act 1872 for employment agreement unless the terms are jotted down it is very tough for either party to prove that other pary has not complies the terms and conditions of employment agreement that is why it is general practice to issue appointment letter.

Dear umakanthan sir,
Pls clarify :- legally is it mandatory to execute the contract of employment like appointment letter & term of employment defined therein. is there any section, clause which state that appointment letter must to be execute with regard to newly employee. Or any case law for the same.
Thanks

From India, Pune
umakanthan53
5967

Dear Prashanth and the anonymous friend,
As far as I know no Indian Labour Law other than the Sales Promotion Employees ( Conditions of Service ) Act,1976 makes it mandatory for the employer to issue a letter of appointment to his employees [ Sec.5 of the SPE(CS)Act,1976]. If I were correct there is no mention about a formal appointment order even in the Industrial Employment ( Standing Orders ) Act,1946 or the Model Standing Orders given under the Rules.
Prashanth, it is correct that the contract of employment is also a contract as defined under the Indian Contract Act,1872. But a contract under the Contract Act also need not be necessarily in writing except in the case of absence of consideration.

From India, Salem
PRABHAT RANJAN MOHANTY
535

Dear Friend,
You can issue a letter of appointment with terms & conditions to your employees as per the requirement of the organisation. If you do so will help you to handle the retrenchment & termination on completion of terms or non-renewal of contract.

From India, Mumbai
Anonymous
5

Dear all.
There are many organization here which is being openly running unless following labour laws compliance No
PF No ESI No statutory bonus No appointment letter Nothing.
Inspite that No action against such organization by labour laws department

From India, Jaipur
umakanthan53
5967

Dear anonymous friend,
Both your concern for the mute anonymous labour force and frustration with the poor enforcement of labor laws in India are quite understandable as well as appreciable. But law will not act on its own;you have to knock at its door. Many renowned business houses dealing in banking, insurance, manufacture and direct marketing of consumer electronic goods etc., employ thousands of people indirectly as off-roll employees. Just interact with the apparently smart young guy trying to sell an insurance policy or a vacuum cleaner ringing your door bell every now and then or a young gentleman most probably with an M.B.A from the local college coming to your house to verify the loan application you submitted to a local branch of a private sector bank. Their initial response about their job would be with a great hype but your nicely worded further questions would bring out only hesitant answers from them about their insecure, underpaid and stressful jobs and the craving for some class-IV permanent jobs in Government service. They are just off-roll employees though their jobs are perennially incidental in nature. How can an enforcement authority know this unless a complaint is made? The trade unions, if at all any, functioning in such industries are also just preoccupied with the demands of their permanent employee-members only. Therefore, such unfair labor practices can not be eradicated unless there is concerted action on the part of such unfortunate employees, trade unions functioning in such industries and the enforcement machinery.

From India, Salem
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