Understanding Employment Bonds
If a fresher has to join a company with a bond of 3.5 lakhs for 2.5 years, what is the actual meaning of this bond? Is it compulsory for him to work with the same company for 2.5 years? If he leaves the company after 1 or 1.5 years, should the payable amount be 3.5 lakhs or less? What kind of action can the company take if he pays nothing? If the company does not provide a proper increment after one year, what can the employee do?
Thank you.
From India, Vadodara
Acknowledge(0)
Amend(0)
If a fresher has to join a company with a bond of 3.5 lakhs for 2.5 years, what is the actual meaning of this bond? Is it compulsory for him to work with the same company for 2.5 years? If he leaves the company after 1 or 1.5 years, should the payable amount be 3.5 lakhs or less? What kind of action can the company take if he pays nothing? If the company does not provide a proper increment after one year, what can the employee do?
Thank you.
From India, Vadodara
Acknowledge(0)Amend(0)
Understanding Employment Bonds
When a fresher executes a bond for a stipulated period and amount, it means that they have agreed to pay the bond amount if they choose to leave the company before the stipulated period. Even if they decide to quit one day before the completion of the bond period, legally, they are bound to pay the bond amount.
On the other hand, if the company wishes to waive the bond amount upon their request, then they can quit before the stipulated bond period without paying the bond amount.
Professional organizations indicate to the employee upon their joining the tentative amount they are likely to receive during the bond period and upon the completion of the bond period. Please note that they also indicate that the amounts will be paid to them upon achieving performance indices each year.
Regards,
M.V. KANNAN
From India, Madras
Acknowledge(0)Amend(0)
270When a fresher executes a bond for a stipulated period and amount, it means that they have agreed to pay the bond amount if they choose to leave the company before the stipulated period. Even if they decide to quit one day before the completion of the bond period, legally, they are bound to pay the bond amount.
On the other hand, if the company wishes to waive the bond amount upon their request, then they can quit before the stipulated bond period without paying the bond amount.
Professional organizations indicate to the employee upon their joining the tentative amount they are likely to receive during the bond period and upon the completion of the bond period. Please note that they also indicate that the amounts will be paid to them upon achieving performance indices each year.
Regards,
M.V. KANNAN
From India, Madras
Acknowledge(0)Amend(0)
I joined a leading MNC BPO after 2 days of training. I came to my native place and I don't want to work there anymore. During the introduction, they gave me a book and asked me to sign all the pages, which I did. When I returned to my native place, they called me and demanded 50,000 rupees if I wanted to be relieved from the job. They claimed that the book I signed was a bond. I don't know what to do. They are threatening me to pay, or else a notice will be given. Can anyone please suggest what I should do?
Thank you.
From India, Coimbatore
Acknowledge(0)Amend(0)
Thank you.
From India, Coimbatore
Acknowledge(0)Amend(0)CiteHR is an AI-augmented HR knowledge and collaboration platform, enabling HR professionals to solve real-world challenges, validate decisions, and stay ahead through collective intelligence and machine-enhanced guidance. Join Our Platform.
BOND BY AN EMPLOYEE FOR NOT ENGAGING HIMSELF.doc
Legal Clarification on Absconding Employee, Contract Labour Engagement & Leave Entitlement Ammen.pdf