What are the Rules for Employee Gratuity withdrawal For if two companies are Merged? as our company not giving any answer to it and not given withdrawal of my gratuity of the previous company.
From India, Ahmedabad
From India, Ahmedabad
in order to make the merger proper, there should be a tri partie agreement among the employees, and management of the two companies. The purpose of the agreement is to have an understanding about the past services of the employees, the gratuity claims of the employees, retrenchment compensation which may have to be calculated in future, the salary fixation etc. In that agreement both the management should reach a conscience as to how gratuity will be calculated when an employee leaves. There can also be a decision to take the employees as freshers in the new company and in such situation who will pay the gratuity and retrenchment compensation payable to each employee. In the absence of such agreement it will be miserable for the employees to get the benefits considering the date of joining in the old company as the date of joining in the new company.
From India, Kannur
3891From India, Kannur
The present company in the process of merger there should be a Board of Director’s resolution / Share holders or Executive Board, besides all terms and conditions, there should be one condition, with regard to the service continuity of employees and the earlier liability on gratuity and other terminal benefits.
Once the merger is over, the new taken over company, has to issue individual letter to all employees on their service continuity and terminal benefits. Some time employee’s are given option to continue in the present employer on different service conditions / salary structure, or opt for voluntary retirement (Golden Hand Shake) if they are not acceptable to the new service conditions.
If the new company doesn’t come forward / follow the above procedure, the option available to the workmen is to raise an Industrial Dispute under ID Act for the liability on previous service conditions/ continuity of service, and settle their claim/ issue by a settlement under section 12(3) of the Act
From India, Madras
Once the merger is over, the new taken over company, has to issue individual letter to all employees on their service continuity and terminal benefits. Some time employee’s are given option to continue in the present employer on different service conditions / salary structure, or opt for voluntary retirement (Golden Hand Shake) if they are not acceptable to the new service conditions.
If the new company doesn’t come forward / follow the above procedure, the option available to the workmen is to raise an Industrial Dispute under ID Act for the liability on previous service conditions/ continuity of service, and settle their claim/ issue by a settlement under section 12(3) of the Act
From India, Madras
There is no such rules but when such merger is happened, a memorandum of settlement is made between the employee & owner of the two companies merged. In the mmorandum all the details of the liability of Employee is mentioned and procedure of disbursement by whom & when. The copy of signed memorandum are being sent to the labour authority & other related authorities for information. In absence of any such doucment, employee of each employer has to file claim before their employer for their payment of Gratuity till the date of merger or from the absorbed company.
All the employees deprived of such payment can file their case before labour Department or District Magistrate.
From India, Mumbai
All the employees deprived of such payment can file their case before labour Department or District Magistrate.
From India, Mumbai
Find answers from people who have previously dealt with business and work issues similar to yours - Please Register and Log In to CiteHR and post your query.
SBT Vs Asst. Labour Commissioner- Gratuity dismissed employee-LTS.PD F
Payment of Gratuity Act, 1972 & The Rules.ppt
FORM I(Application for Gratuity by an employee).doc