Can I legally claim my delayed full and final (F&F) settlement?
The company had initially emailed me that my full and final (F&F) settlement would be processed within 10 days. Later, the company emailed me that the F&F would be processed at the month-end, but I still haven’t received my salary. What should I do?
In India, while there's no single definitive timeframe, employers typically complete a Full and Final (FnF) settlement within 30-45 days of an employee's last working day, although the Payment of Wages Act, 1936, mandates payment within 2 working days for certain dues like wages. If an employer fails to pay the dues, the employee can initiate a formal legal procedure by sending a final notice to HR and senior management, then escalating to the Labour Law or a lawyer, with a general limitation period of three years to file for recovery. Penalties for the employer include being liable for interest on the delayed amount, and they may face disputes, legal action, and penalties from the labor court.
If your full and final (F&F) dues are delayed, you can first send a formal written reminder to your employer requesting immediate payment, mentioning the agreed timeline. If there is still no response, you can approach the Labour Commissioner under the Industrial Disputes Act, 1947 or file a civil case for recovery of salary in the local court. Keep all emails, offer letters, and communication as evidence. For further legal assistance contact us on our helpline number.
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