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Indian Law/Probation period laws


Dear Sir,

I am employed with a MNC since April 2012, so far the GM is refusing to make be permanent and is keeping me on probationary period without citing a reason. During this period i took annual leave for 10 days which was granted by him. I have LTA & Bonus mentioned in my CTC. I had requested for LTA encashment and thereafter the GM changed the rules saying that if your on probation your not entitle to LTA. Can you tell me about the employee probationary laws in Mumbai & about the conferment of permanent act in Mumbai and can an employee make and change rules as he goes.

All help in this matter will be highly welcomed.

Thank you.

An employee may be kept on probation for a certain period to ascertain his suitability for the job. It is fully at the discretion of the employer to retain or terminate or extend the duration of the probationer. While the normal probation may certainly be extended in suitable cases, it is not desirable that an employee should be kept on probation for an indefinite period as happened in your case. Moreover, the reasons for extending the period for probation should always be communicated in writing to the probationer; if no decision extending the probation communicated in writing to the persons concerned within expiry of a reasonable period of the probation, he should be deemed to have completed the probation, satisfactorily.  The work of the probation should be periodically reviewed during the probationary period, and shortcomings, if any, should be communicated to him in writing. This is necessary to avoid any subsequent legal complications.
The terms of engagement,extension and confirmation of a probationer depend upon the terms of engagement.Any violations thereof, shall be challengeable before the court and for the said purpose provisions of the Contract Act will be applicable.I am not aware about any Employee Probationary Laws made in Maharastra.As per the provisions of the Industrial Disputes Act,the service conditions of employees cannot be altered without the prior consent of their recognised Unions/Associations and approval of their Competent Auhority.
I would advice you to try for a change.

Indian Law

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Arun Kumar Maitra


Contract Law,Companies Act,Sale of Goods Act,Partnership Act,Negotiable Instument Acts,Constitution of India,Arbitration Act,Consumer Protection Act,Maternity Act,Payment of Gratuity Act,Payment of Bonus Act,Shops & Establishment Act etc.The answer to the grievance of the particular online query depends on the facts of the particular case and law applicable to it.However,my comments relating to the various queries raised through the "All Experts" should not be treated as legal advices and should not at all be relied upon.I do not accept any responsibility for them.They will only give you some ideas about the probable merits of your cases.Ultimate actions/decisions in the matter may please be taken in consultation with the Legal Experts in the relevant fields.My purpose of giving the comments is to increase my own knowledge on the subjects and share it with others.It is purely of academic interest to me. I strongly feel the more knowledge we share,the more we shall be able to learn because there is neither any age nor any end to learning.


I have experience of dealing with matters relating to holdings of board/general meetings,maintenance of statutory registers,filing of necessary returns with the RoC,obtaining licenses for import,replies to Parliament Questions,dealing with the Parliamentary Committees,appearing before various courts to defend my employers,filing affidavits/counter -affidavits,preparing written statements/re-joinder,giving advice to management on complicated legal issues,preparation,drafting and vetting of contracts etc. I have more than 35 years of experiences to deal with the Company Law and Other Commercial Laws of leading Organisations in the country both in Public as well as Private Sectors.

Member,Inst. of Chartered Accountants of India Member,Inst. of Company Secretaries of India; Member,Bar Council of India Member,All India Management Association Member,Delhi Management Association Ex. Vice-Chairman,Durgapore Chapter of the I.C.A.I. Expert ,CA Club India Expert ,Lawyers Club India Expert,AllExperts Ex. Faculty ,I.C.S.I as well as I.C.W.A of India Retd. Co. Secy. & G.M.(Law)/NFL(A Mini-Ratna A Schedule Central P.S.U.),New Delhi Ex.V.P.(Secretarial Dept.),Jaiprakash Associates Ltd. Ex. Co. Secy.,MAMC(A Govt. of India Enterprise),Durgapore



Awards and Honors
Obtained ''A'' Grade Certificate in the Parliamentary Procedure from the Secy. General of Parliament in 1994-95.It was in connection with a training course conducted by the BPE for PSU Executives.

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I am presently working as a Company Secretary in Old World Hospitality Pvt. Ltd.located in Delhi.It is engaged in Hospitality Industry.It has Units in India and abroad.It has been given the responsibility to look after operation & Management of ''India Habetat Centre'' located at Lodhi Road,New Delhi.

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