Validity of Employment Bonds
Bonds, when tempered with reasonableness, are valid. Let us say company X has incurred expenses on special training in a quantifiable manner; then a bond of employment for, say, 2-3 years to recover the cost of training may be valid.
Section 27 of the Indian Contract Act, 1872
Section 27: Agreement in restraint of trade, void. Every agreement by which anyone is restrained from exercising a lawful profession, trade, or business of any kind is, to that extent, void. Exception 1: Saving of agreement not to carry on business of which goodwill is sold. One who sells the goodwill of a business may agree with the buyer to refrain from carrying on a similar business within specified local limits, so long as the buyer, or any person deriving title to the goodwill from him, carries on a like business therein, provided that such limits appear to the Court reasonable, regard being had to the nature of the business.
Enforcement of Bonds
Enforcement of a bond can be done if an employee breaks the bond. Each case will need to be critically examined before any comment can be passed.