Upgrad LLM

service bond


I joined a automotive company called benteler-chennai in 2008, i am asked to sign a bond( 5 laks) for 5yrs for 3-months training in germany.
I signed the same since it is a german company, then later i realised there is noting to learn during training. They sent us to germany just for taking bond from employees. Still i am with same company, training was also not there, past four years we are not working on any related works, very rarely we are getting projetcs, splitting among 40 employees here. Hardly one person is working on projects for two months in a year, that too not related to our skills.

Employees are treated very badly by local management since we can not speak because of bond.

During traning, they spent 50,000 rs for travel, two laks for three months as daily allowances. Not more than that.

If some one opted for beaking of bond now, local management are asking for same 5 laks and sometimes 5laks+interest starts from our traning.

We do not know  how to react. Shall we go to the court. how to proceed!!!! or is there any way to come out of this.

Only few got good profiles. 99% of the employees here have same opinion and looking for change. our career is a big question to us.

Local management is treating us in unusual and slavery way.

Mrs. Latha mani - This person is only responsible for all wrong things.

Company address: Benteler engineering chennai pvt. ltd,3 rd floor, Apex plaza,No.3, nungambakkam high road,chennai-34.

We are afraid of our future. Can some one help us!!!!!



An employee should always run a check on the credentials of the company before joining, and consult elders in the family, competent and experienced well wishers, trained legal mind/lawyer law firm, before signing on the dotted line. It is always better than repenting later.

If all of you (or even some of you) are feeling the same way and can unite then all of you (or even some of you) may:

-join any trade union of your choice. Your union can represent to the company.

-represent to the good offices of your appointing authority, MD, CEO, Head-HR, Company Secretary and mention all relevant points e.g. no training was conducted by company and before your signature was obtained you were informed following .......................................training( give details) is to be conducted , whereas the same was not conducted, and the programme in which you participated was actually......................(give details) and was not at all any training which was not relevant to you and even this programme is not implied/utilised and hence it has not made you skilled, the content of the programme has become obsolete ( if it has). You are being coerced that you are under bond and are being ill treated ( give details) and company's higher management ( give details)  is rude, coercing, threatening, and  ill treatment is being meted out to you at work place and you are continuously being harassed at work place ( give details). Your polite and gentle representations have not fetched any relief. Each time the bond is being flaunted at you and you are being suppressed.

If you were sent to another location for any programme in India/abroad company has to arrange for boarding/lodging and has to provide an allowance for sundry expenses.

Hardly you are working on projects for two months in a year, that too not related to your skills. If you are expressing to separate local management is asking for same 5 lacks and sometimes 5laks+interest starting from the day of signing the bond while there was no training, and actually it was an assignment ( if it was and if you can prove).

You should also be able to produce the performance data of entire period of your employment and prove that you have generated revenue and profit for the company.

You have posted that "Local management is treating us in unusual and slavery way.''

-What are your official working hours and what ire your actual working hours? Do you have your attendance record of entire period of employment? Have you ever lodged any claim for over time? Have you been made to work on holidays/off days etc and can you prove it?

Does your company have registered office in India? Is your employer subsidiary of MNC and is it registered in India? Are you being provided PF/EPF, gratuity, group insurance, group mediclaim, ESIC etc? Do you get salary slip? Have been provided PF accumulation reports for all these 4 years of your employment? Is there any system of appraisal 90*, 180*, 360* and do you have copy of your appraisal? Do you have any appreciation mails, letters, certificates, medals, trophies etc? You should collect each and every relevant document, and keep in your personnel file.

Have you received offer letter, appointment letter? Is there any mention of annual increments, performance linked benefits etc? Have you been given annual increments?

When were you informed of bond……in the advertisement for the post, during interview, vide offer letter, before or after the issue of appointment letter.

Has the company circulated employee rule book, and certified standing orders? If not you should demand the same in writing? These may also be placed at intranet/ HR page of employee portal.

Which line management/ HR communicate with you Indian or superior in Germany?

Multinational companies are usually wary of law suits.

Your chances of success shall be better if all of you remain united. You alone can also proceed if you are right in your submissions in the thread.

Company can always claim that they are right and have incurred expenses but have to prove its claim.

You all can join hands and approach a competent and experienced service lawyer at your location with all the relevant details and records and proceed under expert advice. If all of you join your expenses of seeking legal advice shall be divided amongst you. Your lawyer can advice you for the appropriate strategy after evaluating the merit based upon all documents, records, and inputs given by you e.g. o/o labor commissioner, structured representations to good offices (Indian/German), legal notice etc. You should remain cool, amiable, and be careful and should leave any room for the company to charge you on any count.



dear employee I am a chennai based lawyer and have dealt with several such cases. The procedure of treating employees as slaves using one sided bonds have been heavily criticised by courts and as such I have got relief for several of my clients. My contact 9042778784. - sunil




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