Hi, I am a new member of this group, and I really enjoy being part of it.
Can anyone tell me about the legality of service/employment bonds that some companies insist on executing at the time of joining? I would like to know the legality of such bonds in the following scenarios:
1. When a person agrees to a bond for 2-3 years and there is no training or any intellectual property being transferred to the employee during the tenure.
2. When the bond is signed by a well-experienced person, for example, someone with over 11 years of experience.
3. What legal measures can the organization enforce when an employee leaves without honoring the bond period?
4. What legal options does an employee have if they are terminated during the bond period?
I look forward to your valued inputs. Thank you.
From India, Bangalore
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20Can anyone tell me about the legality of service/employment bonds that some companies insist on executing at the time of joining? I would like to know the legality of such bonds in the following scenarios:
1. When a person agrees to a bond for 2-3 years and there is no training or any intellectual property being transferred to the employee during the tenure.
2. When the bond is signed by a well-experienced person, for example, someone with over 11 years of experience.
3. What legal measures can the organization enforce when an employee leaves without honoring the bond period?
4. What legal options does an employee have if they are terminated during the bond period?
I look forward to your valued inputs. Thank you.
From India, Bangalore
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Hi Sherine,
Bonds/contracts hold no value as the Government of India has already abolished the Bonded Labour Act. These are not legally enforceable to the best of my knowledge. Wipro makes people sign bonds, and these same people break them. Let me update myself on the issue, and I will get back to you on it.
Regards,
Scarecrow
From India, Mumbai
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Bonds/contracts hold no value as the Government of India has already abolished the Bonded Labour Act. These are not legally enforceable to the best of my knowledge. Wipro makes people sign bonds, and these same people break them. Let me update myself on the issue, and I will get back to you on it.
Regards,
Scarecrow
From India, Mumbai
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Hi,
Check out the following link which appeared in today's Economic Times: "Bond or no bond; you are a free bird." It is very informative.
URL: [http://economictimes.indiatimes.com/articleshow/1196073.cms](http://economictimes.indiatimes.com/articleshow/1196073.cms)
From India, Bangalore
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Check out the following link which appeared in today's Economic Times: "Bond or no bond; you are a free bird." It is very informative.
URL: [http://economictimes.indiatimes.com/articleshow/1196073.cms](http://economictimes.indiatimes.com/articleshow/1196073.cms)
From India, Bangalore
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Hi,
I am working in a Malaysian company in the IT department. I signed a two-year bond with the company which states that if I terminate my employment before 365 days, I will have to pay 6 months' salary, flight tickets, visa fees, and other expenses incurred by the company. If I terminate after 365 days but before 2 years, then I will have to pay 3 months' salary along with the above costs. I am originally from India.
I have already completed 1 year of service, but the company has not given me my bonus or any salary increment. The bonus is supposed to be 10% of my salary based on performance. However, the company claims that my performance is not up to the mark. Additionally, I am facing family issues as my mother is unwell, and I have provided a medical certificate for this. Despite this, the company is still demanding the bond money. I gave them a 3-month notice after discussing with my manager, who verbally assured me that he would waive off the bond if I improved the processes. I worked hard and completed my tasks as requested. Now, my manager has stated that the decision lies with HR, and he is no longer in charge. I have heard that he is leaving, and the new Head of Department is also uncooperative. Several Indian employees have already left due to the poor treatment by the company, and some have not paid the bond amount. I could do the same, but I wish to leave peacefully.
Can someone please advise me on how to handle this situation? I submitted my resignation in April, with my last day planned for July, but the company is unwilling to waive the bond. Due to the high bond amount, I have rescinded my resignation for now.
One important note is that the bond clause is mentioned in the appointment letter and not in any separate agreements.
Regards,
Vicky
For more information, visit https://www.citehr.com/9912-service-...#ixzz0oM6OW0Hz
From Malaysia, Kuala Lumpur
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I am working in a Malaysian company in the IT department. I signed a two-year bond with the company which states that if I terminate my employment before 365 days, I will have to pay 6 months' salary, flight tickets, visa fees, and other expenses incurred by the company. If I terminate after 365 days but before 2 years, then I will have to pay 3 months' salary along with the above costs. I am originally from India.
I have already completed 1 year of service, but the company has not given me my bonus or any salary increment. The bonus is supposed to be 10% of my salary based on performance. However, the company claims that my performance is not up to the mark. Additionally, I am facing family issues as my mother is unwell, and I have provided a medical certificate for this. Despite this, the company is still demanding the bond money. I gave them a 3-month notice after discussing with my manager, who verbally assured me that he would waive off the bond if I improved the processes. I worked hard and completed my tasks as requested. Now, my manager has stated that the decision lies with HR, and he is no longer in charge. I have heard that he is leaving, and the new Head of Department is also uncooperative. Several Indian employees have already left due to the poor treatment by the company, and some have not paid the bond amount. I could do the same, but I wish to leave peacefully.
Can someone please advise me on how to handle this situation? I submitted my resignation in April, with my last day planned for July, but the company is unwilling to waive the bond. Due to the high bond amount, I have rescinded my resignation for now.
One important note is that the bond clause is mentioned in the appointment letter and not in any separate agreements.
Regards,
Vicky
For more information, visit https://www.citehr.com/9912-service-...#ixzz0oM6OW0Hz
From Malaysia, Kuala Lumpur
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