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Chidhambaresan (Information Technology)     07 July 2018

Breaking service bond after onsite.

Dear Experts, 

I am working in a company for about 10 years since 2007. I have been deputed to onsite assignments frequently and was out of India for most of the above mentioned 10 years.  But I am an employee of Indian division and get my salary in Indian bank account.

The offer letter says that I should work compulsorily for 6 months after I return back from any work assignments abroad.

If I get an good offer in a foreign country for which I should join within 2 months, how should I get relieved from my present Indian employer without legal complication.

Kindly advise.

Wordings In Offer Letter:

Clause 9: Minimum Period of service:
You are required to execute a bond/contract guaranteeing a sum of Rs.2,00,000/- (Rupees two lakhs) to be payable to the Company in accordance with the terms and conditions of such contract. The above contract shall also be signed by two sureties, one of whom should be your parent. A copy of contract is attached hereto for your reference.

Clause 11: Regulation:
You understand that if you are deputed on any work/assignment/project at locations specified by customers, you will gain extensive knowledge and skills by closely working with the customers, which would be of great value to the Company, and which knowledge information and skills the company would want to utilise on completion of such deputation. Customers in this context shall mean clients, business partners, business assocites, subsidiaries, affiliates or any other legal entity or business unit with whom the Company has business relationship. Moreover, you also understand that the Company would be expending considerable cost for such deputation. Therefore, you agree that after completion of such deputation for a duration of more than 45 days, you continue in employment with the Company for a period of at least 6 months from the end of such deputation. The above mentioned 6 month period is in addition to the minimum period of employment specified in the bond/contract you are required to sign as per clause 9.



Learning

 4 Replies

Dr J C Vashista (Advocate)     07 July 2018

You are well aware about  the policy of your company which is absoluty clear and unambigous.

Deposit the bond amount and join new company if you are being offered better prospect.

SIVARAMAPRASAD KAPPAGANTU (Retired Manager)     07 July 2018

My Dear Sir,

 

While joining the job, you had seen the clauses clearly and added your signature to such contract, which goes to prove that you understood and agreed to all the clauses. Now, after working for a decade with such company which provided you employment when you required, it is not fair to search for some short cuts to circumvent the contract which you willingly signed.

 

My sincere advise to you is to consult the HR Department and explain to them your problem. They shall surely help you. If they do not agree, just follow the clauses as agreed and signed by you.

P. Venu (Advocate)     07 July 2018

The condition appears to be too omnibus and oppressive and less than equitable. All that could be suggested at this stage is that it would be impossible for the employer to enforce the terms of the bond if you choose leave the employment.

Chidhambaresan (Information Technology)     28 July 2018

Thank you very much for the opinions. I will surely discuss with the HR department to have a amicable conclusion. Anyhow could you please let me know your further options on the below.

I am not able to clearly understand if Rs. 2,00,000 bond amount is applicable for the 6 months service period. From a layman's perspective I thought the bond amount is only for the first 2 years of services. 

My actual doubt is as follows.

Can a employer force to make the employee work for 6 months, without providing any alternative option like service-bond amount ? 


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