Appointment Clause Put Me In Trouble - CiteHR
Adoni Suguresh
Sr.executive (per & Adm)
Export Import Manager
Hr Consulting
+1 Other

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Dear Friends,

I've joined an private limited company recently. The interview and selection was done by the General Manager of the Company and during interview, no prior conditions or any kind of obligation clause were brought to my notice. Here, I would like to mention that no charge was handed over to me as the earlier employee had left the organization without any notice. So, after my joining, I was only handling the day to day work.

After two weeks of my joining, HR Head came to me and offer me appointment letter and asked me to sign. I refused to sign and asked for some time to read it before signing it and he told me that there is nothing but the normal clauses and he'll have to submit to the Personal Deptt. for necessary record maintainance. A copy of this signed appointment letter was also given to me. Later on when I read the appointment letter, I gives me a shock as there were threatening clauses which in my view are illegal. I lodged a protest to the GM very next day who appointed me and I was told that these are only normal clauses he assures me that I do not have to worry. Since, the conversation was verbal and I recorded it in my cell phone as a proof.

As per this clause, If I leave the company without informing the company OR company terminate my services, company have the right to claim two months salary with a Liquidation amount of Rs. 50000/- from me and if I refused to do so, they can claim this from me thru the court of law. There is no notice period mentioned in the appointment letter if I want to leave the company.

Dear Friends, now I need your advise on below mentioned issues :

1. Is this clause legal and binding upon me,

2. I'm on a probation of 06 months and have completed three month.

3. Can I resign from my present post and what would be notice period. (what about 07 days period).

4. if, I leave the company by giving a short notice or without notice, what action can company take against me. Co, have invested a single peny on me or on my training as I'm not from technical field and my job is basically clerical.

I'm very much disturbed because of the above as I learnt that there are more than 30 cases the company filed against their employees who left them. Please advise what I'll have to do in this scenario.

Thanx in advance for all of your guidance.

Best Regards

Vinod Kumar

What your employer has mentioned is not legal. An employee has every right to quit from an organization after serving notice period as mentioned in his/her offer letter or by paying salary in lieu of the period or amount mentioned in service agreement.

Similarly, when an employer terminates an employee, he must give a notice of 1 month / 2 months / 3 months to the employee. If not, he has to compensate the salary. 1st time I am hearing a clause whereby an employee is supposed to pay money, even if he is terminated

Going by what you have mentioned, it amounts to slavery. If you have decided to resign do the following

1. Send a mail to your HR and GM to correct the terms of offer and issue fresh appointment letter. In the email mention that, you discussed with GM 2 months back, who promised to look into the issue. Also mention the fact, since it has been more than 2 months since you heard from them, you are writing this mail as reminder. This mail should to be very polite and don't use words such as 'Illegal', 'Not fair' etc.

2. If they reply you saying that, it is a routine offer letter issued to all employees, then you respond saying that it is not acceptable. Don't mention ever that you have audio evidence. Produce it in court, if required.

I am not a lawyer nor do I have knowledge on labour laws. But what your employer has done is just short of a bonded labour. Even IAS officers can resign from job after serving notice period. Does this company expects a person to work with them till 58 years?

Even if they court, it won't stand merit. An agreement should have remedial cause for both parties, in case of default by either of them. It cannot be a one-sided one. One sided agreements are illegal. So don't worry

Consult a lawyer once

Have u signed the appointment letter afterall? It’s been more than 2 weeks of ur joining. U havent mentioned what happened in between. If it makes u so uncomfortable, u should really quit.
Dear Mr.Vinod,

Your case is little peculiar one. You said that you have signed the appointment order. This itself evidence that you have accepted the clause whatever mentioned in the order. This is nothing but the token of your acceptance. Whatever your GM or HR says this is nothing, it will a formal and routine. All these not with stand in longer if the disputes raised between parties. I am hearing first time that the termination clause is not mentioned by either parties may be in a probationery period or after confirmation of the services. In absence of this it can be predict a notice period is applicable by either party for one month which is within the purview of law. Since you want quit the employment submit your resignation on the grounds of your personal reasons and request them to the earliest. Since you are leaving within the probationary period there should not be any problem for your employer. Please see that you must get relieving order before you leave the company otherwise it will be harmful for you in your future career. Handle carefully and talk politely with your superiors.

Adoni Suguresh

Sr.Executive (Pers, Admin & Ind.Rels) Rtd

Labour Laws Consultant

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