Hi,
My company sent me for higher studies to one of the top institutes in India as a sponsored student (though I had to clear every aptitude test and interview on my own). However, I had to sign a 5-year bond for 15 lakhs, which is reducible by 20% per year. I had no option as it was during a recession period. I signed the bond on a 100 Rs. stamp paper with the signatures of 2 guarantors.
My company assured me that they would increase my salary to a minimum of 5 lakhs (my HR showed me some papers, but I don't have any concrete proof). Currently, my salary stands at 2.4 lakhs.
After completing my studies, the company is reluctant to increase my package (they are not even willing to raise it by 2 lakhs). They are also not willing to change my job profile. Consequently, I am eager to switch companies. I have the following questions:
1. Is it a one-way bond or a two-way bond?
2. Can I break the bond without paying any money?
3. Can I take any legal action against the company (despite it being a reputed company worldwide)?
Thanks in advance.
From India, Mumbai
My company sent me for higher studies to one of the top institutes in India as a sponsored student (though I had to clear every aptitude test and interview on my own). However, I had to sign a 5-year bond for 15 lakhs, which is reducible by 20% per year. I had no option as it was during a recession period. I signed the bond on a 100 Rs. stamp paper with the signatures of 2 guarantors.
My company assured me that they would increase my salary to a minimum of 5 lakhs (my HR showed me some papers, but I don't have any concrete proof). Currently, my salary stands at 2.4 lakhs.
After completing my studies, the company is reluctant to increase my package (they are not even willing to raise it by 2 lakhs). They are also not willing to change my job profile. Consequently, I am eager to switch companies. I have the following questions:
1. Is it a one-way bond or a two-way bond?
2. Can I break the bond without paying any money?
3. Can I take any legal action against the company (despite it being a reputed company worldwide)?
Thanks in advance.
From India, Mumbai
Data-driven organizational management?track trends, plan ahead, optimize growth. See It In Action - Book Your Demo
Firstly, check your offer letter and go through all terms and conditions. Also, check the line of increment and appraisals. If they align, you can proceed legally and discuss the matter with your HR manager to resolve it smoothly.
From India, Hyderabad
From India, Hyderabad
Dear Bhagya, thanks for your concern. There is no proper statements regarding increments and appraisals.So what should i do now? And what about bond ? I shall be highly obliged if you do reply.
From India, Mumbai
From India, Mumbai
Mr. Atul,
As per your information, it is a two-sided agreement. It is not a bond; it is a service agreement, which means the cost is for training and education. You have agreed to stay with the employer for five years as per the agreement. You cannot break the agreement without paying the damages as specified. It is better to discuss non-payment with the management.
If you leave the company, your guarantors will be liable for the damages.
From India, Hyderabad
As per your information, it is a two-sided agreement. It is not a bond; it is a service agreement, which means the cost is for training and education. You have agreed to stay with the employer for five years as per the agreement. You cannot break the agreement without paying the damages as specified. It is better to discuss non-payment with the management.
If you leave the company, your guarantors will be liable for the damages.
From India, Hyderabad
Hi Raj is right, you must go through your appointment/contract letter first and read the terms accordingly, but I don't understand what you actually want to say here in your line:
"My HR showed some papers... that's it... I don't have any proof. My current salary is 2.4 lakhs."
Secondly, Mr. Atul, you need to share this with your boss as well. I'm sure he/she will understand your situation. Moreover, if your contract says that you are entitled to a salary of more than 5 lakhs after completing your studies and that will be offered by your company, then you don't need to worry about anything.
One more thing, could you please let us know about your total experience with this current industry and also the terms of your contract.
You can also ask the expert, Mr. Manoj, for advice using the following link: http://www.allexperts.com/central/howtoask.htm
For more information on non-receipt of salary, appointment letters, and HR divisions in Indian Law, you can visit: Indian Law: non receipt of salary, appointment letter, hr division
From India, Gurgaon
670"My HR showed some papers... that's it... I don't have any proof. My current salary is 2.4 lakhs."
Secondly, Mr. Atul, you need to share this with your boss as well. I'm sure he/she will understand your situation. Moreover, if your contract says that you are entitled to a salary of more than 5 lakhs after completing your studies and that will be offered by your company, then you don't need to worry about anything.
One more thing, could you please let us know about your total experience with this current industry and also the terms of your contract.
You can also ask the expert, Mr. Manoj, for advice using the following link: http://www.allexperts.com/central/howtoask.htm
For more information on non-receipt of salary, appointment letters, and HR divisions in Indian Law, you can visit: Indian Law: non receipt of salary, appointment letter, hr division
From India, Gurgaon
Mr. Anil and Mr. Reddy,
Thanks for your concern. My total experience is 3 years excluding 2 years of my higher studies as a sponsored candidate. Regarding this -
"My HR showed me some papers... that's it... I don't have any proof). My current salary is 2.4 lakhs."
My HR showed me some offer letters of other employees (who have the same qualifications as me) at the time of agreement. Based on that, HR informed me that my package would increase after the completion of my studies, but it is not mentioned in my agreement.
Another thing I want to share with you is that the company is ready to pay 6.5 lakhs per annum for fresher candidates from the same institute I graduated from (having the same qualifications as me).
With Regards,
Atul
From India, Mumbai
Thanks for your concern. My total experience is 3 years excluding 2 years of my higher studies as a sponsored candidate. Regarding this -
"My HR showed me some papers... that's it... I don't have any proof). My current salary is 2.4 lakhs."
My HR showed me some offer letters of other employees (who have the same qualifications as me) at the time of agreement. Based on that, HR informed me that my package would increase after the completion of my studies, but it is not mentioned in my agreement.
Another thing I want to share with you is that the company is ready to pay 6.5 lakhs per annum for fresher candidates from the same institute I graduated from (having the same qualifications as me).
With Regards,
Atul
From India, Mumbai
I'm also in agreement with Mr. Reddy regarding what he said above.
See, Mr. Atul, I believe you are not grasping the situation correctly, not even clear with yourself. How can you claim that the letter/agreement you have offered was the same agreement on the same terms and conditions that have been offered to other people? Have you gone through your own copy of the agreement? If not, you must check your copy first to understand what it says. It seems that while signing, you didn't read your agreement properly. There is something wrong!
Secondly, from what I understand, you are willing to change your job because you are not being offered a salary similar to what new employees are receiving these days due to your agreement, and you cannot break it either.
Therefore, I would suggest you go through the link for legal help in this regard. Best of luck.
From India, Gurgaon
See, Mr. Atul, I believe you are not grasping the situation correctly, not even clear with yourself. How can you claim that the letter/agreement you have offered was the same agreement on the same terms and conditions that have been offered to other people? Have you gone through your own copy of the agreement? If not, you must check your copy first to understand what it says. It seems that while signing, you didn't read your agreement properly. There is something wrong!
Secondly, from what I understand, you are willing to change your job because you are not being offered a salary similar to what new employees are receiving these days due to your agreement, and you cannot break it either.
Therefore, I would suggest you go through the link for legal help in this regard. Best of luck.
From India, Gurgaon
Looking for something specific? - Join & Be Part Of Our Community and get connected with the right people who can help. Our AI-powered platform provides real-time fact-checking, peer-reviewed insights, and a vast historical knowledge base to support your search.
