John George (NA) 21 June 2013

Bank guarantee for employment

Hello Sir/ Madam,

I am recruiting some employees for my company and i am looking at taking a bank gaurantee from them. I would like to get a format for the same.

Also could you advise me on the value of the stamp paper that should be used.

Thank You ,

John.

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3 Replies

Adv k . mahesh (advocate) 21 June 2013

Bank guarantee means what type like chque or deposit?

and if you want to take any agreement means on 100/- stamp paper but this type of agreement will not be forced in the law of india

John George (NA) 21 June 2013

I was looking for emplyee making a fixed deposit and bank gives a gaurantee for the period of work. I know bonds dont really work

SAM (LEGAL) 21 June 2013

Ans: You cannot take any kind or form of bank gaurantee from the employee, it is not legal and completely void and against the law. It is just like bonded labourer, which in law do not have any legal validity. Please ensure that you cannot take any form of gaurentee from employees like in terms of money in cash or in form of bond