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breaking of employment bond

(Querist) 09 April 2008 This query is : Resolved 
i am somesh, i work for a MNC having branches in USA, Malaysia and india. they started there branch in india in 2006. i joined this company in 2007, with the Bond of 6,00,000/- for the period of three years. this amount of 6,00,000 was the cost of expenditure on me for training me on higher end technologies and certification, but till now they not spent any money on me, i want to leave this company now, what is the procedure, and what if my employer rejects to give me the reliving letter.
Manish Singh (Expert) 09 April 2008
It would be very difficult for you to prove that they have not worked up any money on you.
TRY to persuade them for the relieving letter.
octavious (Expert) 12 April 2008
Bond or Bondage

Hi Friends

I would like to high light certain legal problems that my HR friends are having or are subjected to such problems

The problem I wish to discuss with all my friends is about Signing of Bond or rather to say completion to signing a bond to get a job.

India is currently faced by 17% attrition per annum across all vertical and all industry. If we compare this ratio with other nations the attrition rate is very low, the highest is Australia.

Bond was a way devised by some wise HR person sitting in USA. As per the law and regulation of USA this kind of arrangement between the employee and employer was acceptable.

But some wise guy in HR in India had splendid idea of aping this idea into the Indian market without understanding the Legal, Social, and cultural back ground.

As per the Indian Statute bonded labor system was long abolished and no bond can force any person to work against the employees wishes

Article 19 of Indian Constitution talks of fundamental rights, as per the Article 19 the Constitution the write work is a fundamental right, and under no circumstance does the Fundamental rights under Article 19 be waived by any person nor can any person be forced to do something that’s amounting to the violation of the rights mentioned under Article 19.

As per the Indian Contract Act contracts entered between two parties if is one sided then such contract would be null and void. Most of the Bonds are one sided.

Again as per the Indian Contract Act no contract can be enforced on any person if the contract which is being so enforced causes any harm to the person on whom its is enforced and if performed would violate principles of natural justices.

As per Sec 368 of Indian Penal Code if any person or institute holds back any document or any use any legal document or threatens any legal suits or actions and thus forces a person to perform any act against his wishes or which is illegal or wrong as per the statute of Law of the land.

Sec 368 of Indian Penal Code talks about extortion by the threatening to file a legal suit. The minimum punishment under this act is 2 two years.

The Supreme Court of India has clearly stated that no employee can be forcefully employed against his will, just because he has signed a contract with the employer.

The court also has stated that the employer can not hold back any personal document of the employees as they are earned by the employees and the company has no claim on the same.

Any complain on the company would land the Directors and Managing Directors of the company in Jail, as the company is not a actual living entity but legal entity and the management are hands and heads of the company.

Bonds are applicable only if the company has spend money on the personal grooving and enhancement of the employees, but not just a training that helps employees perform better.

As far as your matter of relieving letter is concerned, then mark a letter to you immediate boss and also to HR and then mark a BCC copy of the same letter to your personal id, when you go for a new job in any company, then kindly show the mail print out that, you have completed your notice period and also that you have left the last employer after proper intimation and clarification.

Hope the answers helps you

Thank you for your time patience and cooperation

Much Obliged

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