Regarding service bond break of my company
lulu
(Querist) 18 February 2014
This query is : Resolved
Dear sir,
I was working in a construction company with a service bond of 3yr. Due to non-availability of job at recession time,i was forced to sign on the 1OORs Judicial bond paper along with my parents.
It was written on the bond paper that "IN CASE THE UNDERSIGNED COMMITS ANY BREACH OF DISCONTINUATION OF JOB FOR ANY PERIOD,THEN EMPLYER COMPANY SHALL BE ENTITLED TO RECOVER FROM THE PERSON OF THE NNDERSIGNED A SUM OF MONEY WHICH THEY HAVE SPENT DURING TRAINING PERIOD & IT WILL BE 2 LAKH & UNDERSIGNED WILL BE LIABLE TO PAY WITHOUT RAISING ANY DEFENSE".
The reason for my job quit are
1. very less salary than other companies
2. 12 hour duty imposed without assigning adequate employees,no sunday as holiday
3. not provided proper facilities
4. rude behaviour of manager for any work to all employees
5. other confidential things
So i quit my company after 10th month assighning my leg fracture.
After 1 month,i got a parcel by post from my company. I didn't accept that parcel.
please give me your kind advise (if confidential,you can give in my mailid- lulu.srk@gmail.com) to tackle this situation
prabhakar singh
(Expert) 18 February 2014
I regret to disagree with preceeding opinion only when Mr.Expert : M.Sheik Mohammed Ali
does not take it bad.
He says"After 1 month,i got a parcel by post from my company. I didn't accept that parcel."
Then he should wait and watch only what further steps company takes against him.
And must be in consultation of a lawyer.
prabhakar singh
(Expert) 18 February 2014
I regret to disagree with preceeding opinion only when Mr.Expert : M.Sheik Mohammed Ali
does not take it bad.
He says"After 1 month,i got a parcel by post from my company. I didn't accept that parcel."
Then he should wait and watch only what further steps company takes against him.
And must be in consultation of a lawyer.
Advocate M.Bhadra
(Expert) 18 February 2014
Don't worry,let them take action,several Courts in India in some cases have held that service Bonds signed by employees are against the provisions of Section 27 of Indian Contract Act and hence not binding.
Ref;cases (i)Supreme Court Judgement in Management of National Seeds Corporation v. K V Rama Reddy and
(ii) Madurai Bench of the Madras High Court in V Mathivanan v. State Bank of India.
Rajendra K Goyal
(Expert) 19 February 2014
You should have accepted the parcel to know what it contained.
Agree with the advise of prabhakar singh ji, wait and watch.
Anirudh
(Expert) 19 February 2014
Dear Mr. Bhadra,
I am afraid, the case laws cited by you do not deal with the subject matter of the query.
Kumar Doab
(Expert) 19 February 2014
Learned Expert Mr. Prabhakar Singh has given valuable advice. Kindly follow it.
Your establishment may send you another notice.
Do you have copy of this Service Bond?
You may show all of the record and documents to a competent and experienced labor consultant/service lawyer specializing in such matters including:
job advertisement, job application, interview call letter, selection letter, offer letter, appointment letter, Service Bond, standing orders applicable to the company ( Certified/Model) and extended to your designation, attendance record, list of holidays, OT policy, leave policy, service rules and regulations, HR policy, Grievance Redressal Policy, record of entry/exit in office, time spent on assignments in office even if it is by time on emails, orders of superiors even if by SMS/recorded calls/emails to work ………………………..on Sundays/ off days/holidays/national holidays/gazetted holidays,……………………and for extended hours, complaints if any lodged by you even if by email regarding rude behavior, etc…………………………………notice(s) issued by company to you etc……………………………………….give inputs in person and proceed under expert advice of your lawyer.
You have raised a few points in your post.
1. Recession does not force you to sign a BOND. It was not a compulsion exercised by company. You have signed it by your free will. Your parents have signed by their free will, of course to support you.
2. What is this training given to you? Is it some certified educational programme that has added to your qualification and/or has awarded you with some extra ordinary skills? If it was some programme to familiarize you with products, processes, policies, systems of the company then it should have been provided without any cost to employee by the company. If company has not incurred any expenses on Training on you then it may not succeed but still it may claim legal injury due to breach by you and pull you to court of law.
3. The liquidated damage cited by company of Rs2/ lakh has to be proved by the company. The validity of the claim amount, if at all it is proved, shall be dependant on various factors. The mere signing a statement “UNDERSIGNED WILL BE LIABLE TO PAY WITHOUT RAISING ANY DEFENSE" does not take away your rights to DEFENCE and defend yourself.
4. The salary offered to you is accepted by you. It might be less compared to other companies. However is there any provision for appraisal and incremental increase in salary in the policy of the company after say 6 months or 1 year? Does company agree to increase the wages if not more……………………… at least by say……………………..CPI?
Is it stated that employee shall not be eligible to increment during period of Service BOND? If yes it shall be in your favor up to an extent.
5. Even if you have signed a Service BOND the work hours are 8/day::: 48 hrs/week and for work above it may entitle you for OT. Lodge your claim for OT. If you have already submitted it by say……………………………normal post remember to provide a copy to your lawyer. [[[[[ HOPE YOU CAN READ BETWEEN THE LINES]]]
You should also stake claim for double wages/compensatory off if you have been made to work on national Holidays.
6. Employee should lodge OT claim in reasonable time.
Employer is bound to disburse OT with wages on its own and also to maintain the record of hours in office in various forms/registers prescribed under various enactments applicable to it e.g;
(Name of your state) Shops and Commercial establishments Act…………….
7. If you have been clamoring for proper facilities you may provide copies of your communications, to your lawyer.
8. Rude behavior at workplace is not permissible even if employee has not signed a BOND/ has signed a BOND……………………………..NO One can touch the dignity of the employee.
The courts of law have made scathing remarks on ‘Rowdiness of Bosses’
9. Did you suffer fracture in the leg during office hours, while going to office or returning from office? If you suffered fracture in the leg you should first of all submit claim with medical bills for reimbursement. You should have applied for sick leave first, instead of resigning. Had the company declined the leave it would have been another point to declare the employer unworthy of being employed with.
You should note that the company has spent money on getting the SERVICE BOND crafted as per its specific requirements/job order from some Lawyer/law Firm and has set in policies for its HR/Legal Cell to chase the employees and claim the compensation stated in BOND. These personnel due to compulsion of their jobs can not give up easily.
Therefore it is in your interest to do your home work and approach your lawyer NOW.
You must appraise your lawyer fully and must not conceal anything as your lawyer has to defend you on all counts.
It is also a possibility that a fitting reply by your lawyer to the letter/notice/legal notice by your company may put the matter on SHUT UP MODE, FOREVER.
If the matter lands up in court of law then court of law shall decide, finally.
lulu
(Querist) 19 February 2014
Dear all,
Thanks all of you giving me your valuable suggestion .Adding further to above matter-
1. My company didn't give any Facility of OT to anybody with rank engineer & above whether you worked in Holiday or company will.
2.Company didn't give me any type of training . They posted me directly after 7 days induction program. They told that as i joined here as a GET(graduate engineer trainee),you have to automatically learn all things.
3.In order to get rid of this company, i took leave for 5 days from my company & after 5 days ,i sent them my medical bill showing my leg fracture injury & begged for 1.5 month leave (actually i had to do all these fake things to leave my company ) .
4.If i will not accept any parcels sent by my company to my address & if my local post-office will conveyed them that no one was in that address at that time, then will it be a possible advantage for me for taking future course of action?
5. Another thing, frequently i have complained rude behavior of my boss as well as one senior staff(i.e as i am very very junior to them), but company hasn't taken any action against them. I have all e-mail documents showing these communication mails.Will it be a valid reason for putting my case strong.
Please clarify my all those doubts & thanks in advance .
lulu
(Querist) 19 February 2014
Dear all,
Thanks all of you giving me your valuable suggestion .Adding further to above matter-
1. My company didn't give any Facility of OT to anybody with rank engineer & above whether you worked in Holiday or company will.
2.Company didn't give me any type of training . They posted me directly after 7 days induction program. They told that as i joined here as a GET(graduate engineer trainee),you have to automatically learn all things.
3.In order to get rid of this company, i took leave for 5 days from my company & after 5 days ,i sent them my medical bill showing my leg fracture injury & begged for 1.5 month leave (actually i had to do all these fake things to leave my company ) .
4.If i will not accept any parcels sent by my company to my address & if my local post-office will conveyed them that no one was in that address at that time, then will it be a possible advantage for me for taking future course of action?
5. Another thing, frequently i have complained rude behavior of my boss as well as one senior staff(i.e as i am very very junior to them), but company hasn't taken any action against them. I have all e-mail documents showing these communication mails.Will it be a valid reason for putting my case strong.
Please clarify my all those doubts & thanks in advance .
Kumar Doab
(Expert) 19 February 2014
GET (graduate engineer trainee) in your case could be as per Standing Orders of the Management, or Apprenticeship Act.
Look into the job advertisement and appointment letter and it should been stated clearly.
>>> Standing Orders of the Management.
If it as per Standing Orders then Employer himself shall be held responsible for violation of standing orders.
>>> If it as per Apprenticeship Act you may go thru Apprenticeship Rules, 1992
In such a case the if Apprenticeship is terminated by apprentice the cost is determined by the Central/State Apprenticeship Adviser.
The apprentice is eligible for leave; holidays etc…………………….and for violation complaint can be lodged with Central/State Apprenticeship Adviser.
Who has asked you to fake the accident and submit fake medical BILLS????
You can be in deep trouble due to this.
Enough has been posted in this thread for you.
For more you may approach elders in the family and your lawyer in person.
T. Kalaiselvan, Advocate
(Expert) 20 February 2014
Properly advised and have given valuable information and opinion by expert Mr. Kumar Doab.
