Hi, my friend was signed a bond with a company for 3 lakhs rupees, but after one year, she got married. Now, her in-laws are not allowing her to pursue the job. Can anybody give suggestions on whether the company can sue the employee as her father has signed the surety?
From India, Delhi
From India, Delhi
Dear Friend,
Once an employee signs a three-year bond (as mentioned by you) and if the employee leaves the company before the end of the tenure, then the company has full rights to claim the liquidated damages (as mentioned in the bond).
In case the employee does not pay the liquidated damages, then the company will have the option to send a civil court notice to the employee, or the company can even sue the employee for failing to pay the liquidated damages.
From India, Mumbai
Once an employee signs a three-year bond (as mentioned by you) and if the employee leaves the company before the end of the tenure, then the company has full rights to claim the liquidated damages (as mentioned in the bond).
In case the employee does not pay the liquidated damages, then the company will have the option to send a civil court notice to the employee, or the company can even sue the employee for failing to pay the liquidated damages.
From India, Mumbai
Hi Friend, If the above mentioned reason is genuine then ask your friend to talk to the HR or the management about the issue. If she can convince them, problem gets solved. - Babu
From India, Madras
From India, Madras
As you have already mentioned, your friend has signed a bond, which itself means that it is a legal contract, and one party can sue the other if the other party is breaching the contract.
The only solution is negotiation, which your friend can try with the management of her company. It is your friend only who can help herself.
From India, Calcutta
The only solution is negotiation, which your friend can try with the management of her company. It is your friend only who can help herself.
From India, Calcutta
Hi, Garg girl,
First of all, I am impressed by seeing your true care for your friend. As a matter of policy, a company's management takes these bonds primarily to ensure the availability of an individual. As you know, a lot of resources are being devoted towards hiring the proper employees. All the efforts in terms of physical as well as monetary are being wasted away once an employee leaves unplanned. So, a bond of short duration is okay, and generally, as a matter of terms, some monetary payment is tied up for non-compliance. Legally and morally speaking, the company's right is intact, and the company has all the right to sue for the recovery of this damage. For this, both the candidate and/or the surety can be sued.
However, from a legal point of view, framing a contract is a specialized task, and as you have not mentioned the details about the company, it is possible that some loophole must have been left in your favor, as most HR professionals are not from a legal background. But taking this route is not advised for two reasons: 1. this is against good faith, 2. as you have mentioned that the father may not be able to pay for the fees of a lawyer and other associated expenses.
So, the suggested course of action is to take a three-pronged strategy, i.e., 1. To apply for a mercy petition with the company management, even through the union if possible. 2. To persuade the in-laws to let the bride rejoin the company, informing them of the probable consequences, as it is very difficult to make a career. 3. Request the transfer of the candidate to a location near to her in-laws if the company has any branch nearby.
From India, Allahabad
First of all, I am impressed by seeing your true care for your friend. As a matter of policy, a company's management takes these bonds primarily to ensure the availability of an individual. As you know, a lot of resources are being devoted towards hiring the proper employees. All the efforts in terms of physical as well as monetary are being wasted away once an employee leaves unplanned. So, a bond of short duration is okay, and generally, as a matter of terms, some monetary payment is tied up for non-compliance. Legally and morally speaking, the company's right is intact, and the company has all the right to sue for the recovery of this damage. For this, both the candidate and/or the surety can be sued.
However, from a legal point of view, framing a contract is a specialized task, and as you have not mentioned the details about the company, it is possible that some loophole must have been left in your favor, as most HR professionals are not from a legal background. But taking this route is not advised for two reasons: 1. this is against good faith, 2. as you have mentioned that the father may not be able to pay for the fees of a lawyer and other associated expenses.
So, the suggested course of action is to take a three-pronged strategy, i.e., 1. To apply for a mercy petition with the company management, even through the union if possible. 2. To persuade the in-laws to let the bride rejoin the company, informing them of the probable consequences, as it is very difficult to make a career. 3. Request the transfer of the candidate to a location near to her in-laws if the company has any branch nearby.
From India, Allahabad
NO ESCAPE. The company has the full right to sue the employee to claim liquidated damages from the employee as per the provisions of the contract detailed in the bond. However, if the company uses its discretion to waive the bond amount as a special case, your friend can be saved. Better try to convince the competent authority through the concerned HR department that the employee has neither taken up any job nor intends to take up any job in the near future due to the reason of her in-laws not preferring her to take up any job.
BUT, if the company still insists on payment for the bond, why should her parents bear the penalty? Why not her in-laws pay the bond amount, who have forced her to leave the job.
PS Dhingra
Chief Executive Officer
Dhingra Group of Management & Vigilance Consultants
New Delhi
dcgroup1962@gmail.com
From India, Delhi
BUT, if the company still insists on payment for the bond, why should her parents bear the penalty? Why not her in-laws pay the bond amount, who have forced her to leave the job.
PS Dhingra
Chief Executive Officer
Dhingra Group of Management & Vigilance Consultants
New Delhi
dcgroup1962@gmail.com
From India, Delhi
My Dear friend,
There is a solution to every problem. I would like to know the full details of the bond. Sometimes we have to break our promise because of some unwanted situations. Please send all the terms & conditions mentioned in the bond.
Best Regards,
Modi Ashok Kumar
9986452168
From India, Bangalore
There is a solution to every problem. I would like to know the full details of the bond. Sometimes we have to break our promise because of some unwanted situations. Please send all the terms & conditions mentioned in the bond.
Best Regards,
Modi Ashok Kumar
9986452168
From India, Bangalore
Actually speaking, any bonds between a company and an employee that curtail basic fundamental rights of the individual are illegal and cannot be executed. In this case, the bond, in my opinion, is illegal and cannot be enforced. Please take advice from a good lawyer and sue back the company. In India, "bonded labour" is prohibited, and any attempts to sign such bonds amount to bonded labour. The bonds were signed by the employee under compulsion of need, and it amounts to exploitation of the situation by the company.
Further to my above post, however, there is a specific case. For example, if the company has incurred costs on specific training for the employee, which provides her immense advantage in the future... For instance, if an employee was sent abroad for technical training specific to the job, in such cases, if the employee has signed a bond, then such bonds can be executable!
From India, Rajkot
Further to my above post, however, there is a specific case. For example, if the company has incurred costs on specific training for the employee, which provides her immense advantage in the future... For instance, if an employee was sent abroad for technical training specific to the job, in such cases, if the employee has signed a bond, then such bonds can be executable!
From India, Rajkot
Every contract and bond has a clause of termination. Kindly act on that clause. Even though I agree with Kdccorp, in today's high attrition-based scenario, companies do find measures to reduce attrition and loss of talent and knowledge. My suggestion is that it can be sorted out by mutual consent with your seniors and HR department. Try to convince them of the problem, and they will certainly provide you with better solutions. Also, be sure to read the clause of jurisdiction to be on the safer side.
Regards,
Nikhil
From India, Pune
Regards,
Nikhil
From India, Pune
Section 5 of The Bonded Labour System (Abolition) Act, 1976 states the following:
Section 5: Agreement, custom, etc., to be void.- On the commencement of this Act, any custom or tradition or any contract, agreement, or other instrument (whether entered into or executed before or after the commencement of this Act), by virtue of which any person, or any member of the family or dependent of such person, is required to do any work or render any service as a bonded laborer, shall be void and inoperative.
The above provision will disqualify the contention of any management emphasizing the signing of bonds.
Naveendran David
Head HR of an MNC
From India, Visakhapatnam
Section 5: Agreement, custom, etc., to be void.- On the commencement of this Act, any custom or tradition or any contract, agreement, or other instrument (whether entered into or executed before or after the commencement of this Act), by virtue of which any person, or any member of the family or dependent of such person, is required to do any work or render any service as a bonded laborer, shall be void and inoperative.
The above provision will disqualify the contention of any management emphasizing the signing of bonds.
Naveendran David
Head HR of an MNC
From India, Visakhapatnam
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