Friday, August 8, 2008

One Rupee Salary due costs company Rs.970,000-00

The Heavy Engineering Corporation (HEC) in Jharkhand has finally agreed to pay a total compensation of Rs.970,000 to 24 of its employees because it had paid them Re.1 less as salary for as long as 30 years, an official said on Monday.

The affected employees had taken the company to court, fighting a legal battle all these years. However, five of them died during the course of the case and the remaining 19 have retired from HEC.

According to an HEC official, the company had promoted around 500 employees from grade E to grades C and D in 1978 and their salary was increased to Rs.8 per month. The management however, gave Rs.7 per month while implementing the new scale.

The 24 employees moved the labour court, which took up the matter in 1990 and passed a judgement in their favour in 1997. The HEC management then moved the high court in appeal, which upheld the labour court's verdict.

Source -

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