Legal Question in Employment Law in India
Sir/Madam
Am an employee of 100% owned subsidiary of PSU Govt of India. Management & Board suspended business operations about a year ago and facility rendered to clients were withdrawn accordingly. Recently, parent company has bailed out our organization for NCD payments. But, an unfortunate development has happened, MD of the company has given verbal directions to HR to stop salary of employees. Later, on June 8, 2023, HR was directed to release only basic, DA, HR as part 1 of salary which covers 70% of gross salary. Consequently, remaining 30% has been put on hold without any formal intimation as well as justification or surety. What are the remedies available with us as employees of 100% subsidiary organization? what do we do further? important thing to mention is 30% perks have been duly approved by the Board in 2019. Is it legally tenable to stop the salaries which have approval of the board.
regards
1 Answer from Attorneys
A writ petition of mandamus may be filed before the high court in whose jurisdiction the head office of the PSU is situated.
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