Transitioning to a Government Job: Do I Really Need to Pay My Current Employer?

I am currently working in a private company. Recently, I received a job offer from the Central Government, so I am interested in transitioning to the government job. However, I have to pay an amount of 50,000 rupees to the company if I leave my current job.

I have heard that there is no need to pay any amount if the job is in the government sector. Can you please confirm this information for me?

Thank you.

It is not because you are joining a government department, but because the employment bond is illegal, that prevents the employer from recovering the amount. However, the employer can recover any costs incurred on your training and development.

Regards,
Madhu.T.K

Hi,

Any company in the offer letter mentions terms of employment. Look at your notice period clause in case of termination. In most companies, you are required to give 30-60 days' prior written notice. Also, there is a mention of notice pay recovery depending on your requested last working day. If it falls short of the notice period, then they may ask you to pay money.

If there is no legal aspect towards notice pay in your offer letter, then whatever you and your supervisor mutually decide on your last working day holds good. Out of goodwill and service with the company, a notice of 1-2 weeks should be given to handover your work and train a new resource in your place.

Hence, look at your offer letter closely and see what the terms are mentioned. If you do not wish to serve the notice period, you may leave; however, your employer may create difficulty with providing a service certificate and relieving letter. So, it's better to leave your current organization on a good note.

If required, you can buy the notice period and ask the company you are joining to buy your notice period.

Dear Friend,

It's definite that if you have signed the contract, then you have to give the notice period, and if you're not serving the same, the company can claim the written amount. It's not a bond; it's a service agreement. Do one thing, just talk and convene with your senior for your career. If they deny the same, then serve the notice period to them or stop working and sit idle between the working hours.

Regards,
Sourabh

Dear Priyanka and Sourabh,

A service certificate from a private company is worth less than a piece of paper when you join a government department. It is after a thorough process of written exams and interviews that one obtains a job in the Central Government. Do you think the employer will cause any harm? Can you cite any examples where an employer has taken action against an employee for not paying the notice period or the agreed bond amount? A service agreement that restricts one's mobility is also void. Therefore, any intention by the employer (if any) to collect Rs. 50,000 for relieving will not be maintainable.

Regards,
Madhu T.K

It's definite that if you have signed the contract, then you have to provide the notice period, and if you are not serving it, the company can claim the specified amount. It's not a bond; it's a service agreement. I suggest you discuss and persuade your senior for the sake of your career. If they refuse, then abide by the notice period or stop working and remain idle during working hours.

If we cannot convince the seniors, we should abide by the rules as we have signed the agreement knowingly. Sitting idle during working hours is not a solution. If Sourabh were a manager, would he allow his juniors to do this?

Regards, Sourabh

In the government's view, this kind of bonds is illegal. They cannot claim money if you are not serving the notice period; they can only keep one month's salary of yours, regardless of the amount received every month, not more than that. They cannot take any further action. Look at your future: if you have time to serve the notice period, it is better to do so. If you do not have time, then let them keep one month's salary.

Dear All,

I fully agree with Shri Madhu Ji. However, not everyone can afford to engage in a tough fight with their employers and succeed. I would, therefore, suggest that Shri Raju Ji apply to his employer for condonation of the notice period/notice pay of Rs. 50,000 on the grounds of compassion. He can make a written request pleading that he lacks sufficient funds to pay the employer, his new employer will not grant him an extension, and that he cannot afford to miss out on a golden opportunity for improvement in his life. This approach may prove successful. The employer might choose to condone the notice pay and release him from his duties. He should give this a try. If he does not receive a positive response from his current employer, then he can consider following the advice of Shri Madhu Ji.

Dear Madhuji,

Generally, companies are not likely to sue due to the lengthy legal procedures. However, it is confirmed that if you signed a contract, then you are obligated to pay the service bond amount as it constitutes a breach of contract, not a bond amount. The term "bond" is not valid under Section 27 of the Indian Contract Act 1972, but the term "agreement" is valid.

You can also consider taking a leave for 10 days. By doing this, you can avoid any issues related to the lack of leave intimation clause in your contract.

Best regards,
Sourabh
Jaipur

Dear Madhuji,

I agree they can't force you to recover the money; however, they can stop payment on your salary due to you and can delay in your relieving letter. I have seen many companies do this. Also, they can adjust the money against your leave balance, which is usually encashed at the time of leaving an organization. Hence, it's better to leave a company on a cordial note.

State to them that you are not feeling well and take 1-2 weeks off. Then talk to your supervisor to relieve you early as you can't attend the office. Even though they have the ball in their court with the contract signed, they can't force you to serve the notice period. Hence, if you take leaves and sit at home, they will be forced to relieve you early.

Hence, there's nothing to worry about. Wish you all the best for your new job.

Regards,
Priyanka

Hi everyone,

I'm presently working as an executive in a company for 2.5 years. I am a confirmed employee as per the appointment letter. Now, my company is relocating me from my current location to Delhi, for which they have already sent me a transfer letter. However, I am unable to move due to personal reasons. Therefore, I am submitting my resignation with a notice period of 24 days so that I can explore other opportunities. My boss is insisting on a resignation within 7 days. As per the terms and conditions of the appointment letter, it is stated that either party (employee/employer) can terminate the contract by providing one month's notice or basic salary in lieu of notice.

Please advise if I can continue working for the next 24 days with the notice period commencing today until April 30th, 2011, and claim one month's salary.

Urgent reply needed.

Thanks & Regards,
Surbhi

Dear Surbhi Ji,

In my opinion, you have to adhere to the provision in your appointment letter and give a notice of 30 days. It is at the discretion of the management to accept it before the completion of this notice period, waive it altogether, or relieve you immediately, etc. If you wish to work for the full one month of the notice period, you may request your boss in person for relief only upon completion of the notice period. In my opinion, your boss should oblige you because you have worked under him for 2.5 years, and you are leaving the job only due to a genuine problem beyond one's control. Please consider this approach. I hope good sense will prevail, and he will be fair to you.