Increment Approved but Unpaid: What to Do Next

Reviewed on: 2026-05-30.

If increment approved but unpaid, collect the account, application, transaction, policy, property, employee, pension, scholarship or bill reference and send one precise written complaint to the office that can correct the record or release the money. Ask for a written reason if the request is refused or kept pending. Escalate with the same evidence bundle to HR/payroll team, finance team, EPFO or labour authority where applicable. Use RTI only for records held by a public authority: file movement, deficiency notes, dispatch records, sanction details, payment advice, inspection reports or reasons recorded on file.

Use the correct external forum. Use EPFO or the other official source linked below where it fits the subject. For consumer-service disputes, consider National Consumer Helpline and e-Daakhil. For public departments, CPGRAMS, state grievance portals and RTI may help. For high-value or time-sensitive cases, take professional advice before limitation expires.

• EPFO
• EPFO grievance portal
• CPGRAMS

• /practical-guides/
• /practical-guides/category/employment-and-payroll/
• /practical-guides/fixed-deposit-lien-not-removed-after-settlement/
• /practical-guides/hospital-refuses-medical-records-reasonable-time/
• /practical-guides/life-insurance-maturity-payment-delayed/
• /practical-guides/employer-not-giving-salary-slip/

1. Step 1: What to do when increment is approved but not paid? (a) Increment: (i) annual increment — approved by management, (ii) salary increment — reflected in payslip, (iii) unpaid: increment approved but not implemented in salary, (b) key rules: (i) Industrial Disputes Act 1947: increment is part of wage — once approved, must be paid, (ii) employment contract/company policy: increment terms, (iii) increment cannot be withheld — once approved, © common scenarios: (i) increment approved — not reflected in salary, (ii) increment deferred — no timeline, (iii) increment cancelled — after approval, (iv) arrears not paid — from effective date, (v) increment paid partially — reduced amount, (d) rights: (i) employee has right to increment — once approved, (ii) right to arrears — from effective date, (iii) right to Labour Commissioner — if withheld, (e) authority: HR + Management + Labour Commissioner, (f) law: Industrial Disputes Act 1947 + Payment of Wages Act 1936 + Contract Act 1872.

1. Step 2: Comparison table — increment unpaid scenarios. (a) Not reflected: (i) issue: increment not in salary, (ii) remedy: HR complaint + Labour Commissioner, (iii) timeline: 30-60 days, (iv) example: not paid; complained; received, (b) Deferred: (i) issue: increment deferred — no timeline, (ii) remedy: written demand + Labour Commissioner, (iii) timeline: 30 days, (iv) example: deferred; demanded; paid, © Cancelled: (i) issue: increment cancelled after approval, (ii) remedy: legal notice + Labour Commissioner, (iv) timeline: 30-60 days, (iv) example: cancelled; challenged; paid, (d) Arrears: (i) issue: arrears not paid from effective date, (ii) remedy: demand arrears + Labour Commissioner, (iii) timeline: 30-60 days, (iv) example: no arrears; demanded; paid, (e) Partial: (i) issue: increment paid partially, (ii) remedy: demand full + Labour Commissioner, (iii) timeline: 30 days, (iv) example: partial; demanded; full paid. (Note: Once approved, increment is legally binding. Arrears from effective date. Labour Commissioner very effective.)

1. Step 3: How to recover unpaid increment. (a) Step 1: Check increment letter — approval + effective date, (b) Step 2: Compare with payslip — check if reflected, © Step 3: Written complaint to HR — with evidence, (d) Step 4: If unresolved — Labour Commissioner, (e) Step 5: Legal notice — if still unpaid, (f) Step 6: Labour Court — for recovery.

1. Step 5: Practical tips. (a) keep increment letter — proof of approval, (b) check payslip — every month, © demand arrears — from effective date, (d) Labour Commissioner very effective — free + fast, (e) Example: An employee's increment was approved but not paid for 3 months; complained to Labour Commissioner; received arrears in 30 days.

1. Step 6: Key provisions. (a) Industrial Disputes Act 1947, (b) Payment of Wages Act 1936, © Increment: binding once approved, (d) Arrears: from effective date, (e) Labour Commissioner: free.

See Increment Unpaid and Salary Arrears and How to File RTI.