Hello, I am working in a private IT firm for the last 2+ years in Maharashtra.
1 year before, I had a good offer, But my company retained me with 8-9% more salary than the available offer. Against which, I signed 3 years commitment (On scanned company letter head). I got verbal confirmation that my appraisals will happen as per company processes every year.
There are 2 clauses among others.
1) it is agreed by you that for any changes, an appraisal will be done at the discretion of the company, and the company's decision will be the final one.
2) you agree that the violation of above would direct loss to the company and you'll pay the difference between previous and current remuneration for the balance of the 3-year agreed period.
Now as I have served more than a year, and salary cycle is gone, they told me out of the blue that company will not do increment for next 2 years.
No one had informed me at the time of this agreement and even had told me otherwise.
In this scenario, I am highly demotivated and wanting to not continue anymore.
If I resign with a notice period, do I need to pay anything to the company? are there any alternatives? Can the company hold my relieving or exp letter?
From India
1 year before, I had a good offer, But my company retained me with 8-9% more salary than the available offer. Against which, I signed 3 years commitment (On scanned company letter head). I got verbal confirmation that my appraisals will happen as per company processes every year.
There are 2 clauses among others.
1) it is agreed by you that for any changes, an appraisal will be done at the discretion of the company, and the company's decision will be the final one.
2) you agree that the violation of above would direct loss to the company and you'll pay the difference between previous and current remuneration for the balance of the 3-year agreed period.
Now as I have served more than a year, and salary cycle is gone, they told me out of the blue that company will not do increment for next 2 years.
No one had informed me at the time of this agreement and even had told me otherwise.
In this scenario, I am highly demotivated and wanting to not continue anymore.
If I resign with a notice period, do I need to pay anything to the company? are there any alternatives? Can the company hold my relieving or exp letter?
From India
If you have signed the agreement promising to pay back the differential salary in case you leave, then obviously they have the right. Why did you sign such a stupid clause?
The enforceability will depend on a number of things.
You may need to speak to a lawyer
From India, Mumbai
2394The enforceability will depend on a number of things.
You may need to speak to a lawyer
From India, Mumbai
To clarify further, an agreement made on a piece of paper is as valid as signing it on Stamp Paper. So it doesn't matter that you had signed on the scan copy of the agreement prepared on letter head.
The agreement terms are one-sided and are hence inequitable. Take legal advice from a good Civil side law practioner on your chances.
From India, Mumbai
The agreement terms are one-sided and are hence inequitable. Take legal advice from a good Civil side law practioner on your chances.
From India, Mumbai
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Employee agreement.doc