Hi, Sir, my name is Sridhar. I have 1 year and 10 months of experience. I have been facing a severe mental problem. I am working in a software company where I signed a bond for 2 years and submitted my original certificates. Presently, I have an opportunity in a very nice CMMI Level 5 company, which is a golden opportunity for me. They want me to join on 23rd May. However, when I asked the HR of my current company, they informed me that I can't be relieved during the bond period. I requested them to allow me to complete the pending 2 months of the bond, but they are asking for 2 lakhs for bond breakage. Please advise on a solution to my problem. I am determined to join the new company. How can I make this possible? Please help me!
From United States, Cambridge
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From United States, Cambridge
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Validity of Contracts and Bonds in India
In my view, these contracts, bonds, and agreements are not valid in India. Why? There was a bond where you were sent on a foreign trip to receive specific training, and the employer spent some money on your training. The Indian Contract Act, Section 27, states that "Every agreement by which anyone is restrained from exercising a lawful profession, trade, or business of any kind is to that extent void."
Holding of Original Documents
Secondly, regarding the holding of your original documents, it is a criminal offense for which you can file an FIR against your employer if you have proof. Holding somebody's documents with dishonest intention is a criminal offense.
Please go through my attachment also.
Regards,
From India, Delhi
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174In my view, these contracts, bonds, and agreements are not valid in India. Why? There was a bond where you were sent on a foreign trip to receive specific training, and the employer spent some money on your training. The Indian Contract Act, Section 27, states that "Every agreement by which anyone is restrained from exercising a lawful profession, trade, or business of any kind is to that extent void."
Holding of Original Documents
Secondly, regarding the holding of your original documents, it is a criminal offense for which you can file an FIR against your employer if you have proof. Holding somebody's documents with dishonest intention is a criminal offense.
Please go through my attachment also.
Regards,
From India, Delhi
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Can you please suggest what to do? Should I inform the new employer and join without a relieving letter as I have little time on hand? I have been reaching out to HR personnel here, but to no avail! Please advise.
Thank you,
Sridhar
From United States, Cambridge
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Thank you,
Sridhar
From United States, Cambridge
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I am working for a meager pay of 2.25 lakhs, and I haven't attended any training sessions. They haven't invested a single penny in me. Despite working day and night, they haven't given me a proper hike.
Thanks,
Sridhar
From United States, Cambridge
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Thanks,
Sridhar
From United States, Cambridge
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I would just say that you shouldn't join without being relieved. In the long term, this can impact you. If you could have joined this company a few months back, then you can skip showing this company on your resume later on and can join without being relieved. Just talk to your HR and let them know your case.
From India, New Delhi
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From India, New Delhi
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Sir, present employer asking me 2lks for bond breakage!!!!!! I cannot afford that and i am not able to loose the opportunity in hand...pls tell me the solution thanks sridhar
From United States, Cambridge
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From United States, Cambridge
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You have to decide for yourself about joining. Please ask him peacefully about your documents; otherwise, you can also threaten because it is illegal. Secondly, if your employer is not asking for an experience certificate, then join a new company, and later on, you can take an experience letter from the existing company. Basically, these software companies are like that only, and they do not follow the law of the land.
Regards
From India, Delhi
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From India, Delhi
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I will ask my present employer peacefully, and if he doesn't hear me, I will explain the situation to the new employer. However, I am unsure of how to communicate this to the new employer. Could you please advise me on this matter?
Thank you,
Regards,
Sridhar
From United States, Cambridge
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Thank you,
Regards,
Sridhar
From United States, Cambridge
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Please go through the discussions at https://www.citehr.com/30808-bond-legal-india.html.
Does your would-be employer know about your present job? If so, inform them of the situation that you are facing, if you have not done so yet. As others have opined, many firms impose unfair contracts and threaten people who want to leave.
From United Kingdom
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Does your would-be employer know about your present job? If so, inform them of the situation that you are facing, if you have not done so yet. As others have opined, many firms impose unfair contracts and threaten people who want to leave.
From United Kingdom
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Then tell them now and ask them if you can join at a later date or what to do. If they want you badly, they will advise you or even agree to pay the compensation.
From United Kingdom
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From United Kingdom
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That's for you to decide. If they will let you join without a relieving letter, then go ahead. However, be prepared for the possibility of your previous employer sending you a legal notice, even though they may lose the case in court. Consult a lawyer before you take any action.
From United Kingdom
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From United Kingdom
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Talk to your would-be employer about the situation. There will not be any issue in recovering your certificates deposited with your present employer. Strictly speaking, there is no legal standing for such a bond. The would-be employer may not agree to the proposition because all the IT firms face such situations.
Regards,
Sebastian K. S
From India, Bangalore
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Regards,
Sebastian K. S
From India, Bangalore
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Hi Sebastian K, Do u mean the would be employer doesn’t agree with purpose of my joining with out relieving.How can i bring a positive impact about me thanks sridhar.
From United States, Cambridge
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From United States, Cambridge
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I have no other points to make than what have been put by Mallik and Simhan. It is a matter of bad HR culture which prevents one from joining another company. Everyone (including the one who makes an employment bond) knows that a bond is invalid and compelling an employee to stay or restricting an employee from joining a competitor is illegal, but still, the HR is forced to make such rules.
In a similar case with one of my friends, I had advised him to get a bond from the employer stating that if the employer terminates his service (which often happens with IT companies or companies that entirely depend on the money of other countries—as is called the MNC—when a bomb is exploded or a small bank is wound up in the US or UK!), he should also be given the same bond amount. The employee did so, but instead of giving an undertaking that he would not be terminated, he was relieved without any condition.
Therefore, in such situations, it is the bargaining or the interference of a mediator/conciliator that works rather than the logic. Therefore, find out somebody who can talk to the HR or the person who is to take the final decision and proceed. It is the human values that are more important in the present time HR, and it is claimed that present HR is something which is great and is entirely different and very vibrant and is not the same old Personnel Management. But I have noticed no change except a change in the name or title, though the values have come down drastically and human exploitation has become more and more significant.
Regards,
Madhu.T.K
From India, Kannur
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In a similar case with one of my friends, I had advised him to get a bond from the employer stating that if the employer terminates his service (which often happens with IT companies or companies that entirely depend on the money of other countries—as is called the MNC—when a bomb is exploded or a small bank is wound up in the US or UK!), he should also be given the same bond amount. The employee did so, but instead of giving an undertaking that he would not be terminated, he was relieved without any condition.
Therefore, in such situations, it is the bargaining or the interference of a mediator/conciliator that works rather than the logic. Therefore, find out somebody who can talk to the HR or the person who is to take the final decision and proceed. It is the human values that are more important in the present time HR, and it is claimed that present HR is something which is great and is entirely different and very vibrant and is not the same old Personnel Management. But I have noticed no change except a change in the name or title, though the values have come down drastically and human exploitation has become more and more significant.
Regards,
Madhu.T.K
From India, Kannur
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Bond of Employment.doc
Bond in employment.pdf