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  • Category: Indian Law

    Query about salary held of confirmed employee in case of transfer

    Having a query about salary on hold of a company employee in case of transfer? Find advice from experts on this page.

    I am working in a reputed pharma company since last 3 years. Now the company wants to transfer me from my current place to another city. I have not yet received salary of last month. Can company salary of confirmed employee in the matter of transfer be held?
    If yes then give me time limit for holding of salary.
    And under which section of labour law they can hold my salary?
    Experts: do respond.
  • #137849
    In my opinion, the author should first take a final decision as to whether he is going to continue in the company even after his transfer to a different place or not. In case he is willing then, joining the post at the new place is likely to solve the problem automatically without resorting to any legal recourse. Even if the case goes to a litigation, it is likely to take quite some time in getting the salary released even for the subsequent months till the matter is finally settled. Not only that, many other types of complications are also likely to arise. The company may initiate some disciplinary action also for breach of service conditions.
    Let us encourage each other in sharing knowledge.

  • #137869
    The question was posted on 2nd of the month. What is the usual salary date? If the employee is relieved before the salary date, but after completing full moth , then he is eligible to draw salary as per the old office.
    It depends on the accounting system in the company. There may be needed some reconciliation( technical matter only) but the employee does not get affected by that. He can apply to draw a round sum as advance before relieving from previous place. Otherwise he can draw an advance amount in the new place of posting for the unpaid salary.

    It may not be a 'holding' of salary. Sometimes the records are in transit.
    There may be some changes in salary components between the two offices. Then it may take a few days to make suitable changes in the records. If you are not given any amount in connection with transfer you may apply for that immediately. Also consult experienced colleagues in this regard to know the tradition in your company.

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