I am working in IT sector.I left my last organization because of some reasons.There was a bond in my previous employer, that I need to serve company for 1.5 years.When I resigned I could not go to office and after resigning I received a mail that I need to pay 1,54,000INR as bond money.I said that I am not able to pay such huge amount due to financial barriers.They replied that they won\'t issue me my experience letter as well as my relieving letter until I pay the bond money.Now I am not able to pay bond money, and I need my experience letter as well as my relieving letter to submit in my new employer.I requested my ex-employer a number of time to issues the letter but they denied.Now I am under depression, please help me what I can do.What legal actions I can take against my ex- employer since Bonded labor is a crime in India.Please help me.Thanks in advance for your suggestions.

From India
First you convene to your new employers that you sign the bond of old employers from so & so time period. But I am not full fill this time period because great opportunity growth of my careers I leave this company.
Now, this company’s policy is, if the employee not cleared bond he is not issue any certificate like Experience certificate, Reliving certy.

From India, Vadodara
Dear Shikha,
First and foremost an unconditional bond cannot be enforced, as bonded labour is illegal, however if the amount specified is linked to training provided to you it can be enforced if the company can prove the quatum spent on training.
That being said I think that the only person who can help you is a good lawyer, who after reviewing the said bond will give you the right advice. Also a lawyer will be the oly person who will draft the required reply/ notice to your previous employer.
On this forum we the members offer what we deem to be correct without the entire relevant information about your situation.

From India, Mumbai
Hi Shikha
If you are aware that Bonded Labour is a crime....then why did you sign the Contract for 1.5 years.
Bonded labour you are referring to is different and the Contract you are referring to is different. Do not get
confused.If there is a contract that you shall not leave the Company within one year and if this is mutual,
irrespevtive of whether you are given training or not, the contract is valid.
If you need a correct and good advice, then one needs to know all facts and it is better you consult an Advocate
in your place as advised by Savio

From India, Chennai
Hi All,

Thank you for your valuable responses.I underwent a training for six months in my ex-employer.As per the details of bond money the break up of whole amount is as bellow-

· Rs. 63469/- towards 50% of total compensation paid from the date of joining to till date.

· Rs. 68125/- towards 50% of the total computer time utilized during training Rs. 250/- per terminal hour.

· Rs.15000/- towards recruitment cost.

· Rs. 8000/- towards training costs.

Please tell me are all components are valid and can they demand the same from me on the basis of training they provided me.I need suggestions of all of you once again.

@Muralidhar:-Thank you for your reply.I had mentioned the details please check it once and do reply.Thank you once again.:)

@UvJadeja:-Hi have tried the best possible way to convince my ex-employer but all in vain.Now I am afraid of this thing that if I will tell the same to my new employer then they may terminate me for non-submission of documents. If you have some better idea to convince them then please let me know.Thank you.:)

@Savio:-I have mentioned the break up of bond amount, could you please guide me is that valid or not.Please do reply and thank you for you reply:)

@T.Sivasankaran:- I did not sign the bond till 5 months but then I received a mail from HR that if I will not sign the bond then they will not allow me to continue with my training.So at last I was compelled to sign the bond.And i came to know about it later on when I signed the bond that this is not valid legally.Could you please suggest now what should I do?I will be waiting for your reply.thankyou ...:)

From India
Dear Shikha,

What I am giving here is my understanding of what is fair or unfair.

· Rs. 63469/- towards 50% of total compensation paid from the date of joining to till date. This is not valid. They cannot make you refund salary you have received for services rendered.

· Rs. 68125/- towards 50% of the total computer time utilized during training Rs. 250/- per terminal hour. This can be valid cost on the condition that they can justify the working of Rs. 250 per terminal Hour.

· Rs.15000/- towards recruitment cost. This is not valid since you have worked there for more than a year anyways. Also they have to justify the working.

· Rs. 8000/- towards training costs. This is valid.

In your situation it would make sense to consult a lawyer to draft a reply as well as to work out a settlement with your previous employer.

Litigation is time consuming so get a lawyer who will help you avoid that. Also remember that in the event of future reference checks the company can mess it up for you. It may be unethical but it happens.

Your aim from here should be to work out a settlement and leave. If they dont agree then fight it out.

All the Best and Regards


From India, Mumbai
Dear Shikha, Was this breakup in the agreement you signed with them at the time of Joining? Regards Savio
From India, Mumbai
I agree with Savio. Try to settle.. Organisations generally do not accept to settle at a reduced amount as there is a fear that others will also expect this to be reduced
Try to get a letter from them that you would make the payment over a period of one year and they can mention the same in the relieveing order. But the new Company may insist on your getting a Clearance without any such condition.
Fighting it out at this stage of your career may not be a right option.

From India, Chennai
@savio:Yes that break up was part of the bind when I enforced to sign the bind.And I worked there from 13June'11 to 17Jan'11.
@Sivasabkaran:They said that you can pay this amount in one year time span but only after paying the whole amount they will give me reliving and experience letter.But thing is that is their demand is legal or not mean can any employer ask its employee to pay the amount on those basis which they are demanding from me.
As Savio told that they can't take 50% of the total compensation paid from date of joining till resigning.And no system costs 250per hour, as its not possible.
I have already paid 10750INR as a final settlement amount, which they paid me extra(as I was informed by my ex-employer).
Savio and Sivasabkaran, I am highly thankful to you for giving your valuable suggestions and giving me your time.Once again a thousands of thanks to both of you.:)
I am again waiting for your response.:)

From India
Dear Shikha,
Unfortunately for you you have agreed to pay them as according to the breakup. Willingly as well, because they gave you the option of signing or leaving the organization hence the demand is legal. Too bad that what i said about the legality would hold good only if they had not given the breakup in the agreement.
Best option is to give them periodic post dated cheques for the total amount and get a letter from them stating that: you have handed over responsibilities and that all dues payable have been settled thru postdated cheques and you will get a no dues clearance on realization of the cheques.
I think that would suffice for both your ex and current employer.
My sinciere advice is "Do Not" attempt to fight it out with your ex employer over an agreement you've signed. They can always ruin a reference check.

From India, Mumbai

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