Unjust HR Policies: How Can We Address Hidden Costs in New Employment Contracts?

Unjust HR Policies in New Employment

I observe that a person is given an HR manual after he/she joins a new company by the employer. I found that there are some points unjust to the employee. For example, the person is not told during the interview that if he/she leaves the company before completing one year, he/she will have to return the "Recruitment Expenses" (the amount paid by a person to the previous employer for not fulfilling the notice period requirement). Additionally, it is worth mentioning that the new company insisted that the person join quickly and they would reimburse the amount.

There have been cases where individuals leave within a year—perhaps not by their own choice. However, the said amount is deducted, or the experience certificate is withheld until then. I believe this is unjust, and employees are being cheated by such policies or lack of transparency during interviews. What should we do in such cases?

Regards

Hello,

It is true that every company has its own set of policies, rules, and procedures. It is also true that the HR Manual will be shared with the person only after they join for reasons as stated below:

1. The HR Manual is developed for the employees of the firm.

2. Though you have been extended the offer, you still are not an employee of the firm because you have the right to decline the offer.

3. Even if you have accepted the offer, you have not yet been appointed as an employee of that firm.

A simple example I would state of myself.

While I was pursuing my graduation, in my final year, I was interviewed and got selected by ABC Co. through the campus recruitment process, and in a few weeks' time, they extended the offer to me. I had to sign the copy and send it to them if I was to accept the offer. I did so as it is a brand in the IT company. However, as is observed in IT companies (especially the campus recruited people would know), we were never given our appointment letter until December of the year. By the time they called me and gave me the appointment letter, I had already decided to pursue higher studies, and my exam was due in a couple of months. So I politely explained to them and rejected the offer when they were extending me the appointment letter.

There are several reasons a person would back out even after the acceptance of the extended offer we have made. Another example: They accepted your offer, put their resignation in their current company, in the exit interview it was shared that they're getting a better profile and pay elsewhere, a counteroffer was made by the applicant's current company so that he/she stays, and so the applicant now rejects your offer.

The HR Manual is usually a confidential document and shared only with the employees of the company.

You have a valid point about whether we should not be communicated any clauses that the employer would have.

Now, I think such clauses are going to hamper us, so why not proactively seek to confirm that there are not any such clauses?

While we go for an interview, after the person has finished asking, most of the interviewers ask us if we have anything to ask. Even if they do not ask, we can politely say, "May I clarify certain things before I leave for the day..."

You should always ask about the work culture (do not ask about working hours - the 9-5 work culture is long lost. We need to understand, however, the working culture of the organization. Please note that the number one reason for employee dissatisfaction or demotivation is the cultural misfit).

You should ask about any documents that they would need you to bring on the first day if you get selected.

You should ask if they would require you to sign any service agreement or bond or if there is any payment clause.

You should ask about what they expect you to be working on.

This should actually cover most of the doubts.

Hope it helped. 

Regards

Incorporating Clauses in Offer Letters

Some of the clauses that you find in the manual, as unjust or offensive, can be incorporated into the offer letter. New entrants should not be given surprises. It is always better that both the manual and the offer letters should have clauses that are bilateral and acceptable at the time of entry itself.

Your HR manual needs to be looked into...

Kulkarni, the example you have given is definitely not unfair. A company is giving a new joiner a certain amount of money to join before he completes his notice period. Obviously, if the candidate leaves, that additional amount paid is a complete loss for the company. All companies that buy out the notice period of a previous company put in a clause to recover the same if the candidate leaves before 1 year.