Hi All, I'm a Japanese HR consultant. Could anyone send me an employment agreement template for hiring Indian employees for an IT software company in India? Or, please give me some info or an outline of Indian Labour Law (IT industry). Especially, I would like to know whether it's legally valid to set an employment period of 36 months as an contract employee, or if it's legitimate to restrict a new employee from resigning within 3 years of employment period at the company's discretion. Thanks!
From Japan, Tokyo
Hello HR-AS,

Where are you located--India or Japan?

Pl mention a few more details so that the most appropriate suggestions can be given.

1] Any reason why you mentioned specific numbers [36 months, 3 yrs]?

2] Will the employees have to work in India or Japan or both locations?

3] Will the employees be on YOUR rolls or the company's?

In general, technically [meaning legally], such Agreements have always been the bone of contention among various Fora & the courts too. There have been Court judgements that such Agreements aren't legal. But there have also been judgements that 'in some circumstances' they are legal.

Suggest you use the reSearch facility @ the top of this page to lead you to the earlier threads/discussions reg this topic--which has been discussed many times & at great length. Or you can go thru the Links @ the Right side of this page of earlier threads. You could get some more idea about this topic.

However, practically, many companies have typical Agreements [or Bonds, as some companies term this as] similar to what you mentioned--though the period could vary--the basic idea of such efforts being to instill some amount of fear/hesitation into the employee before he/she quits before a specific period of time.

Not sure if I have answered your query--pl give your feedback by way of elaboration--so that your ACTUAL concerns can be addressed by all the members of this Forum.



From India, Hyderabad
Hi Tajsateesh,
Thank you very much for your inquiries and helpful comments. I'm a Certified Social Insurance and Labor Specialist, a unique qualified professional consultant in Japan, specializing in labor laws, social security, and HR management. My client, a Japanese company, is setting up a company (limited by shares) doing business of software development in the State of Andhra Pradesh in India. They intend to hire a few Indian employees as local staff and will begin recruiting from October 2011. As an agent for preparing an employment agreement and giving some advice, I would like to know the labor laws and regulations in India.
Regarding your queries, my replies are follows:
1] A reason is why my client would like to ensure a continuity of employees' services in a minimum of 3 years basis.
2] The employees have to work in India except for business trip to Japan for a short term.
3] The employees will be on the company (my client).
In Japan, all of employment agreements are required to comply with the law which contains special exemptions and detailed enforcement regulations. I can imagine that circumstances would be very different in India, but I would like to know basic regulations and a certain scope of legislation including, if they existed, some gray areas.
Many thanks for your kind suggestions about using th reSearch facility. I'll do it soon!
Best regards,

From Japan, Tokyo
Hello Miyuki,
Pl send me a PM or mail to me on:
Which city in Andhra Pradesh is your client setting up--I stay in the same State.
I get the clear picture now. Pl checkout thru the reSearch option & let me know if you need anything further. There are many types of Agreement templates in this Forum--so you may need to go thru quite a few of them.
I can checkout with our Legal guy & get back to you if what you get here doesn't address your concern.

From India, Hyderabad

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