Can I Challenge My Employer for Withholding Salary Due to a Non-Stamp Paper Bond?

Hi, I joined a company on 13th September 2018 in Pune as an R&D Engineer with a bond of 2 years. It was not on stamp paper; it was just a normal paper. I was assigned duties that were mentioned in the joining letter. However, later when I joined the company, everything was different. They shifted me to a different department with no R&D work; I was in a different department. Now, there are various reasons why I left that company after 1.3 years (one of the reasons was they didn't pay the salary for two months) as I got a better offer. But now, they are holding my last month's salary, saying, "There was a bond, and we are deducting it from your salary." Can I file a case against them?

Considerations for Leaving a Job with a Bond

You had willingly signed a bond and accepted different work. By your actions and needs, you didn't mind the changes. Non-payment of salaries is a valid reason to leave. Fighting a case for the last month's salary may not be a financially savvy decision, as the expenditure and time in court will likely be higher than the salary itself.

Put in your claim for the salary and continue pursuing it after joining a new job. A new employer may view your involvement in a legal battle as potentially impacting your current work. Therefore, take a balanced view and decide. Sometimes, you may have to take one step back to take two steps forward.

I presume when they assigned you work outside of R&D, you did not protest or insist on being given the work for which you were hired. This could have been beneficial in your legal battle now. However, it's too late for that. I suggest writing to them, stating that your reason for leaving is due to their default, and you have not violated the terms of the bond, but they have. Therefore, their withholding of your last salary and adjusting it against the bond money is illegal. Threaten them that if they fail to pay within a week, you will seek legal remedy.

This approach may or may not work. If it doesn't, consider moving forward with your new job and forgetting about the salary.

Regards,
Vinayak Nagarkar
HR and Employee Relations Consultant

Please note that even if the bond is not signed on bond paper but on plain A$ or green paper, it is still valid as a contract. Therefore, it is better to compromise with your employer and avoid breaking it.

V. Sounder Rajan
Advocate