Worried About a Negative Reference from My Old Job: Should I Consider Legal Action?

I worked for a small company in Bangalore for 3.5 years (Nov 2011 to March 2015). I resigned on 12 December 2014 and served a 3-month notice period. My previous employer wanted me to stay, but I insisted on leaving, so he gave me a negative reference in my experience letter, stating, "The performance of Mr. X during his tenure was average, and conduct is not satisfactory." Despite this, I handled the situation politely and maintained good conduct with my colleagues. I completed my notice period and all pending work.

My previous boss threatened to harm my future prospects by providing a bad reference in my experience letter. I disclosed this to the HR in my new company in Pune. They requested proof, and I submitted my resignation emails and recent salary hike letter. It has been 1.5 months since I joined the new company, and neither have they asked for more details nor have I inquired.

I am concerned about the impact of the negative reference on my future job searches. Should I consider taking legal action against my former employer?

It is disheartening when employers act in an odd fashion and go out of their way to spoil further employment prospects. If your new HR has not taken this negative feedback into consideration, it is good. Go the extra mile in your work in the new company.

Analyze Past Employer Behavior

Analyze the behavior of the previous employer and see whether you contributed to negativism in any way. Probably the act of quitting had put them off, especially if you were holding some crucial job/project. Anyway, the past is past and cannot be undone.

Communicate with Your Previous Employer

I would probably write to my previous employer, putting into perspective the work you had done, results achieved, and clarify the terms "average" and "not satisfactory." Document this and preserve your letter. Remember, a good worker can never be kept down. Prove your merit and conduct in the new company, and then the earlier comment would be viewed as an aberration by a cranky boss.

Legal Implications of Negative References

In Kamal Kishor Lakshman v. Pan American World Airways (1987) 1 LLJ 107, the Supreme Court observed that "a stigma is something that detracts from the character or reputation of a person. It is a blemish, a disgrace, an imputation, a mark or label indicating a deviation from a norm."

Thus, giving a certificate of experience stating "The performance of Mr. X during his tenure was average and conduct is not satisfactory" is punitive in nature and could not have been issued by the employer without giving you an opportunity. Moreover, you have rendered more than three years of experience and must have earned increments; you cannot suddenly be given that sort of certificate. If they wanted, they could have conducted an inquiry before issuing this punitive certificate. Approach the Inspector under the Factories Act to get your experience certificate modified.

Thanks,

Sushil

Indeed, a deplorable act. It is an unethical act on the part of the employer to act under some kind of emotional outburst to spoil the future employment chance of an ex-employee.

So you've joined this new job and have been working here for 1.5 months, and no one has bothered so far? That's a good sign.

Impact of a Bad Reference

The biggest impact this bad reference could have had was on this immediate next job, and I think you are doing fine there, so stop worrying now. In any case, the new bosses will make their impressions based on what you do here. If your work and behavior contradict what's written in the letter, no one will bother. If you do something that confirms whatever your earlier boss wrote, expect the reaction to be stronger because then it would be like, "He is a troublemaker wherever he goes."

Focus on Your Current Job

So, forget about the letter and focus on your job. Do your work well and build good professional relations in the workplace. No one would bother about this letter a few years down the line.

Thanks for your great input. Taking legal action against my former employer is not possible as I am in a different state now and involved in work with my current organization. We all know how our country's legal system works. Well, this is a great forum, and from this forum, I would like to tell the HRs that before considering any negative statements in anyone's relieving letter (especially from a small organization that is unprofessional), try to investigate what exactly it is, instead of blindly believing unethical and unprofessional people's statements who have expressed their emotional frustrations in the relieving letter. Coming to negative conclusions by judging a person as bad solely based on negative statements in the relieving letter is not fair. In my case, I have all the proofs that show I followed the rules correctly, and my conduct was really good; otherwise, I would not have been employed there for 3.6 years and served my 90-day notice period.