What is included in full and final settlement and how long can it take?

Full and final settlement (commonly called F&F) is the process by which your employer clears all dues owed to you after your employment ends. It typically includes your unpaid salary up to your last working day, encashment of any unused earned or privilege leave as per your company's leave policy, any pending bonus or variable pay you had already earned, reimbursement of pending expense claims, and gratuity if you have completed the minimum eligible service period. If applicable, it should also account for provident fund transfer or withdrawal processing, though PF itself is usually handled through the EPFO portal separately from the F&F payment itself.

There is no single central law that fixes one exact deadline for F&F settlement applicable to every state and industry, but most state Shops and Establishments Acts, which govern the terms of private employment in that state, require final wages to be paid within a specified period after the last working day — commonly within 7 to 45 days depending on the state and the specific circumstances of separation (resignation versus termination often have different timelines under some state rules). Many companies also have their own internal policy, commonly around 30 to 45 days, which should be stated in your appointment letter or HR policy documents.

If a month has passed with no settlement and no clear explanation, first send a written follow-up to HR (email works well since it creates a timestamp), explicitly requesting your F&F statement and a payment date, and referencing your state's applicable timeline if you know it. Keep this in writing rather than only following up verbally.

If this doesn't resolve it, you can file a complaint with your state's Labour Commissioner's office, which handles wage-related disputes and can compel employers to pay outstanding dues, generally without needing a lawyer for this stage. For larger disputed amounts or where the employer is uncooperative, a lawyer's notice or a civil recovery suit is the next step.