Unpaid Salary

LABOUR & SERVICES
Refusing To Pay Your Salary
What can you do if your employer does not pay your salary or infinitely delays it?
It is quite common in India for employers to deny salary to employees, especially at the time of firing them. They think that employees have no options or resources to pursue a case. In reality, there are several things an employee can do that can land an employer in real trouble.
Under the Industrial Dispute Act, an employee may file a suit after sending a legal notice for non-payment of salary. One can file a suit under section 33 (c) for the recovery of the money due from the employer.
The first step we recommend is sending a strong notice from a credible legal professional. Under the Payment of Wages Act, 1936, the wage period shall not exceed one month. If your wages are withheld, it is not just a breach of contract but also a violation of statutory duty.
Documents to keep ready-
- Copy of your employment contract: Stipulating how much and when the employer was liable to pay.
- Evidence of non-payment: Bank account details proving you have not received your salary.
