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Arun K Varghese (Software Engineer)     19 October 2009

Employement bond trap

 I am working in an IT company for the past 8 months. In the beginning of my employment, I signed a bond of Rs. 1 lakh for two years for a salary of just 6000 per month.

 

In the bond it was mentioned that this was the cost of the training they provide me during the first six months. But as they promised there was no training and it was all self learning. I ramped up very fast on the work and started to do projects that generate revenue for the company within three months.

But recently I got an offer for a central govt job. And I consider this a chance to serve my nation. But the company is not allowing me to leave without paying the bond amount.

I feel no reason to pay it since I didnt receive any training and moreover the jobs I used to do were repetitive and not good for the growth my career.

Please guide me on how to challenge my employer in court and get my rights.

Thanks



Learning

 8 Replies

adv. rajeev ( rajoo ) (practicing advocate)     20 October 2009

dnt worry go with the govt., job to serve the nation. 

your company is allowijg to do so, then issue a resignation letter to the company alleging all ur bad experience like no training etc.,

When they have vilated the bond condition they cannot restrict you to take your own decision.First you issue notice regarding the breach of condition by the company.

First you join the govt., job.

1 Like

Isaac Gabriel (Advocate)     20 October 2009

Almost all the employers resort to this practice of  getting a bond signed before offering employment.As Mr. Rajiv Vadrali said,submit resignation with the reason of securing better employment and convince the employer.If not agreed,you need not get anixety,join the new job.You can face them legally pointing out the violations of the terms of the bond which forced you to reliquish the job.

1 Like

Arun K Varghese (Software Engineer)     20 October 2009

Thank you Rajeev and Isaac for guiding me. 

So first of all I should sent a mail to the HR head stating that I havnt received the training as promised. As so as said in the bond, I dont need to pay the company anything since there was a breach in the terms.

But if the company is planning to take me to court on this issue, can u suggest is there anything I need to get prepared on? The company is now saying that even though there was no training as such, the time spent in interacting with my senior people accounts to my training. In short they are trying to prove that the experience I got there is the training itself.

Is there anyway they can challenge me in a court of law with these points?

Do I need to do something to prove I havnt received any training from the company?

Thanks

PJANARDHANA REDDY (ADVOCATE & DIRECTOR)     20 October 2009

ALL D BEST

1 Like

Ashish Ovalekar (Manager Legal & Compliance)     21 October 2009

Dear Arun,

I would advice you to directly put down your resignation, wherein you mention therein that since the Company has not provided any specialised training, the clauses of the Bond shall not be applicable, and hence you be relived form the services.

Putting a letter to the HR may prompt the Company to create some documents which might state that you had received training.

Ashish.

Anil Agrawal (Retired)     21 October 2009

 Serve your nation that sounds as if a neta is speaking. Well all good wishes. Let us talk of the consequences of resignation.

All the companies are aware of 'attrition' and are well prepared. The salary that was offered to and accepted by you sounds as if your company was not in the mould of best IT companies. Thus, if the matter is not resolved by talking to your HR, the company can sue you. In their meanness, they can become nasty. Think of the consequences of running from your new posting in Central Government and old company to attend the case in a civil court.

You were not provided training and you are a self made man and have earned money for the company are statements that hold no water. They have violated the terms of the bond that is what you say.

My humble advice (remember the cheapest thing in this world is advice which no body likes) is to talk to HR before joining the new job. If he is adamant, things would not be as rosy as advised.

 

Anil Agrawal (Retired)     21 October 2009

 Everybody serves for his job security not that of the nation.

1 Like

Arun K Varghese (Software Engineer)     22 October 2009

@ Ashish Ovalekar

Thanks Sir. I have already sent a mail as you suggested.

@ ShreGopal Soni

Thanks Sir.

 

@ Anil Agarwal

Thank you sir for explaining me the negative way the whole issue can turn around.

But every person in my company is dissatisfied with our company (a family business) policies and their greed for money. And as a result my company's attrition rate is at an all time high now. I got into this trap because of the recession that happened in the IT scenario and they utilized me a lot for such a low salary. As you told I have talked to my HR but they are not ready to consider the far exceeding contributions I did for the company in this short period.

I am optimistic about my nation and the court of law in our nation. And my winning or loosing, if this case comes to a court cannot change that attitude. I am not a neta but just a normal citizen. And I feel proud to serve my nation which gives me a decent pay and security for my job.


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