Hi Sandeep,
Before we could answer your query, kindly give us following details -
1.Have you joined in as a fresher?
2. What are the clauses of bond?
3. What is the tenure of the bond?
4. How long have you served? You said your bond is valid till feb 14 which is 1 year still to go.
5. Can you write down the exact clause of the bond and the termination policy of your company.
6. Have you been recruited through campus or lateral recruitment?
7. Any trainings provided or are they to provide? Any costing mentioned?
8. What is the bond amount that they've quoted in the bond?
9. Have they taken any bond amount in advance or they'd ask you to pay during final settlement?

From India, Mumbai
Sandeep I did not judge you. I asked you questions to give you better answer... Honestly I wanted to answer you but how do you expect me to help you when I do not know whole thing... I am sorry if you got offended... But I was trying to help...

Another thing... since you've compared the two case, kindly also compare the length of information given by me and by you and understand why I asked you those questions....

Do not always conclude If you might have answered those questions, you might have got your answer by someone by the time...

Anyway.... I hope to see further information which would help me as well as others to understand your case better and hence accordingly suggest you what to do....

If you found it rude or offending, I just wish to clear again that it was all not intended.... But as is said, half knowledge is dangerous, I asked you about details. If we give you advice based on half info, you only would have to suffer and not anyone of us... I hope you understand what I am trying to convey...

From India, Mumbai
Dear All,
Ok! Here I m elaborating my case.
I joined in the organization in Feb-11 as Exe level, I had 3.5yrs of experience when I joined. Company signed a bond of 3yrs which has followings clause(which i remember) is if any employee left the company in 1st year after joining he/she need to pay 3yrs CTC to company, if any employee left 2nd year then he/she need to pay 2 yrs of CTC,if any employee left company he/she need to pay 1yr CTC to company. Company does not provide training for me except the induction.
If now, I want to left the job can I laible to pay as per contract. If I left the job on the unfit ground, can also I m laible to pay. what action my company will take against me on the breach of contract.

From India, Pune
Dear Sandeep,
Yes the Bond in your case hold no good to the company. It is clearly illegal and seems that it has been executed just to harass the employee. Do not worry and do not give heed to what management says. You can leave the services anytime by serving the agreed notice period. They cannot take any action against you. So go ahead without fear.

From India, New Delhi
Hi Sandeep,

Thank you for ellaboration.

From your post - "which i remember"

I wish to ask if you have a copy of the bond you signed or only the company has it?

(I am asking this because whenever an agreement is made, it has to be 2 original document - one with you, one with the company bearing your sign, a sign of company's representative and witness(es)

If you do not have a copy of agreement, how is it that this is a legal agreement prceeding?)

Secondly, are there any clauses on how would they compensate you if incase they terminate you in the said period?

(If there is no such clause, clearly the agreement is one-sided and is questionable and can be nullified in the court)

Thirdly, They demanded you to pay the whole CTC if you leave the service. Again it means exploitation of your skills. This is similar to the case of my friend.

Fourthly, they have not given you any training. A bond is enforceable only to the extent of the training cost incurred. If incase they say on-the-job training, the question is was this on-the-job training worth the ctc claimed? Was your contribution to company of no significance value? These are just a way to demotivate employees resign by creating a fear that you'd be liable to X amount. This is actually a wrong way as hey are just tying an employee who has no interest to stay and hence would not perform.

Since the agreement is illegal, you can resign without paying a penny. But be assured that they would try to harass you and ask money from you on the grounds of the contract you've signed. As they are doing in my friend's case. You'd have to be firm and strategise your steps and you cannot afford to lose your patience. We would always be there to advise you on your steps as this is really not a legal bond/

All the very best. :)

From India, Mumbai
Dear Ms. Shah,

Based upon the scenario, what I understood is that your friend is being harassed by the employer. If I refer to the Shops and Establishment Act, any employee who wants to quit the current company, she can send her resignation letter through registered post to the HR Manager/MD/CEO of the company. As per law automatically it is understood that the employee is clear intention of leaving the job and no employer can deny his/her resignation.

I would suggest that she should meet the concerned area Labour Officer and explain all the details and retain all the documents with respect to the current employer to her. She can always lodge a formal complaint with the Labour officer, marking a copy to the Central Labour Office as well.

As per the Labour Law, no employer can ever bind any of his/her employee to forcefully work with them and under Natural Justice of Human they will be tried very seriously in the court of law.

So, I would suggest meet the concerned labour officer / commissioner of labour department and explain the same and also formally lodge a complaint which will enable your friend to come out of this unfair situation.


From India, Hyderabad
Hi Ankita1001,
Let me clear on this. There is nothing legal like "Bond" or "Service Agreement" in India. Any company can not force you to pay on behalf of a service agreement. Even if the company take the matter in a Judicial Court, it will definitely loose the case. Being a citizen of India we are free to work anywhere and can leave the job anytime while giving a proper reason. "Bonded labor" is strictly prohibited in India. So your friend need not to pay anything in spite of a Bond.
Yes, it may happen that company denies to provide the documentary proof of the employment like the "Experience Letter, Relieving Letter etc." So please take appropriate action as per convenience....

From India, Gurgaon
Dear Amit,
This is for your information that BOND perse is not illegal in India. It is very much enforceable and legal term. I have successfully enforced many before Courts.
Do not get confused between Bonded Labour System and BOND Agreement. Both are two separate things altogether. When a bond is signed in lieu of training given or in lieu of some significant expense done by the management to increase the personal efficiency of the employee, that bond is totally legal and enforceable. Which you are talking about is mere an eyewash agreement just to frighten the employee which is illegal.
So update you knowledge.....

From India, New Delhi
Dear Kamal Kant,
You are very true on this that the company can enforce the candidate before Courts. But Obvious, it totally depends how the candidate can handle the case in the Court. What the reasons he can provide. The legal part of the issue is just a Court proceeding and it depends how both the parties handles it. But as per my view that it is really very tough for the employer to prove its part. As you are an advocate and you know how this happens.
(Please don't consider it an offensive, this is my own view)

From India, Gurgaon
Dear Amit,
Yes this needs a lot of maturity and documentation before the signing of the bond from an employee. But saying that bond is illegal in India is not correct and i objected to it only. Believe me if your case is genuine and you have done proper documentation it is not at all difficult to prove the same.

From India, New Delhi

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