Hello,
I have an employee service agreement signed with my current employer which has 2 clauses –
1. If I leave the organization with a period of 2 years from my joining, I will be liable to pay the company any additional cost they have incurred on me like, trainings, visa processing etc..
2. If I breach the agreement before completion of 2 Years the company will not provide me with relieving/experience documents.
I have completed 1 year with this organization and recently received a better job offer which I would like to pursue. Now the company is refusing to provide me with my relieving documents based on the signed agreement. I would like to highlight that –
1. I have not been provided with any Trainings etc.. so no additional cost has been incurred on me.
2. I am on bench for last 4 months with no projects and no career growth. Hence, I am justified in looking for a better job offering me growth and work.
3. When the present company made me the offer there was no mention of a 2 year service agreement mentioned. However, on my date of joining they made me sign the service agreement without me realizing what I was signing was a kind of a “bond” of two years.
4. My notice period is of 3 months and I am also ready to serve out the entire notice period.
Please let me know if I take legal action against the company to provide my relieving and experience documents, would the same be justified.
Thank You.
From India, New Delhi
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2I have an employee service agreement signed with my current employer which has 2 clauses –
1. If I leave the organization with a period of 2 years from my joining, I will be liable to pay the company any additional cost they have incurred on me like, trainings, visa processing etc..
2. If I breach the agreement before completion of 2 Years the company will not provide me with relieving/experience documents.
I have completed 1 year with this organization and recently received a better job offer which I would like to pursue. Now the company is refusing to provide me with my relieving documents based on the signed agreement. I would like to highlight that –
1. I have not been provided with any Trainings etc.. so no additional cost has been incurred on me.
2. I am on bench for last 4 months with no projects and no career growth. Hence, I am justified in looking for a better job offering me growth and work.
3. When the present company made me the offer there was no mention of a 2 year service agreement mentioned. However, on my date of joining they made me sign the service agreement without me realizing what I was signing was a kind of a “bond” of two years.
4. My notice period is of 3 months and I am also ready to serve out the entire notice period.
Please let me know if I take legal action against the company to provide my relieving and experience documents, would the same be justified.
Thank You.
From India, New Delhi
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Thank you for your response.
So, if I understand you correctly, you are saying that a company is justified in having an employee sign a bond or an agreement which has no consideration. Usually, any agreement is considered valid if it has consideration, i.e., a company will do so and so for an employee in return for which the employee should serve a minimum of two years in the company. However, in my case, the agreement has no consideration; it simply forces an employee to sign a service agreement for two years.
Please confirm.
From India, New Delhi
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So, if I understand you correctly, you are saying that a company is justified in having an employee sign a bond or an agreement which has no consideration. Usually, any agreement is considered valid if it has consideration, i.e., a company will do so and so for an employee in return for which the employee should serve a minimum of two years in the company. However, in my case, the agreement has no consideration; it simply forces an employee to sign a service agreement for two years.
Please confirm.
From India, New Delhi
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Thank you, Nathrao.
Although my relieving letter is mandatory for me to join my next organization, I am only left with the option to take legal action. I have worked with the current company for over one year, and the documents cannot be denied.
Thank you.
From India, New Delhi
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Although my relieving letter is mandatory for me to join my next organization, I am only left with the option to take legal action. I have worked with the current company for over one year, and the documents cannot be denied.
Thank you.
From India, New Delhi
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Dear Puspinder,
You can be advised on the correct way to take legal action after reviewing your employment contract and other employment documents. In your above mail, some violations of employment laws are visible, which may be grounds for taking legal action against your employer.
Thanks & Regards,
Sanjeev Kumar Baliyan
Advocate & Consultant
Email: sanjeev.baliyan@clairvoyants.co.in
Mobile: 9971589511
From India, Pune
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You can be advised on the correct way to take legal action after reviewing your employment contract and other employment documents. In your above mail, some violations of employment laws are visible, which may be grounds for taking legal action against your employer.
Thanks & Regards,
Sanjeev Kumar Baliyan
Advocate & Consultant
Email: sanjeev.baliyan@clairvoyants.co.in
Mobile: 9971589511
From India, Pune
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Dear Pushpinder,
The Company has strategically documented evidence against you in case you leave without notice. It's not unusual for companies to prepare cases against individuals, even if there is no substantial evidence, as a strategic measure. It is common for employees to avoid wasting time and money by engaging in litigation as a weaker party. Instead of becoming the first party in a legal battle, you can present your case in writing. In situations like yours, the first party often loses legal battles. In your written communication, state the facts and request assignments. Emphasize that without suitable assignments, you are losing valuable knowledge and skills that were essential when you were hired. If you choose to seek employment elsewhere while still employed here, legal action may be necessary, incurring costs and leading to prolonged periods of uncertainty and stress.
BEFORE sending a detailed account of your problems in writing, please attempt to discuss potential solutions verbally with your superiors in a logical and polite manner, showing empathy towards their perspective.
Regards,
RDS Yadav
Labour Law Adviser
Director - Future Institute of Engineering & Management Technology
From India, Delhi
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The Company has strategically documented evidence against you in case you leave without notice. It's not unusual for companies to prepare cases against individuals, even if there is no substantial evidence, as a strategic measure. It is common for employees to avoid wasting time and money by engaging in litigation as a weaker party. Instead of becoming the first party in a legal battle, you can present your case in writing. In situations like yours, the first party often loses legal battles. In your written communication, state the facts and request assignments. Emphasize that without suitable assignments, you are losing valuable knowledge and skills that were essential when you were hired. If you choose to seek employment elsewhere while still employed here, legal action may be necessary, incurring costs and leading to prolonged periods of uncertainty and stress.
BEFORE sending a detailed account of your problems in writing, please attempt to discuss potential solutions verbally with your superiors in a logical and polite manner, showing empathy towards their perspective.
Regards,
RDS Yadav
Labour Law Adviser
Director - Future Institute of Engineering & Management Technology
From India, Delhi
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Thank you, sir.
However, in my case, I am not leaving without notice. As per my agreement, the notice period is of 3 months, and I have already informed the company that I am willing to serve the entire 3 months. What I am requesting in return are my relieving documents.
Additionally, the agreement I have signed is entirely one-sided with no consideration. Based on my knowledge, such agreements are not enforceable by law. According to the Indian Contract Act, contracts entered into between two parties, if one-sided, would be considered null and void.
Furthermore, The Supreme Court of India has clearly stated that no employee can be forced to work against their will simply because they have signed a contract with the employer. Any actions taken by the company, such as retaining original educational certificates or creating obstacles for the concerned employee to seek other employment, will have negative repercussions for the company.
I have attempted to engage in polite dialogues with the management, but the only remaining option now is to pursue legal action against the employer.
Please advise.
From India, New Delhi
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However, in my case, I am not leaving without notice. As per my agreement, the notice period is of 3 months, and I have already informed the company that I am willing to serve the entire 3 months. What I am requesting in return are my relieving documents.
Additionally, the agreement I have signed is entirely one-sided with no consideration. Based on my knowledge, such agreements are not enforceable by law. According to the Indian Contract Act, contracts entered into between two parties, if one-sided, would be considered null and void.
Furthermore, The Supreme Court of India has clearly stated that no employee can be forced to work against their will simply because they have signed a contract with the employer. Any actions taken by the company, such as retaining original educational certificates or creating obstacles for the concerned employee to seek other employment, will have negative repercussions for the company.
I have attempted to engage in polite dialogues with the management, but the only remaining option now is to pursue legal action against the employer.
Please advise.
From India, New Delhi
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"As per the Indian Contract Act, contracts entered into between two parties, if one-sided, would be null and void."
This statement has different interpretations and may not be entirely correct. If you knowingly entered into a contract and there is no patent illegality evident on the face of the contract, one would need to examine your specific case before commenting or giving advice.
I advise you to consult a local lawyer for accurate guidance.
From India, Pune
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This statement has different interpretations and may not be entirely correct. If you knowingly entered into a contract and there is no patent illegality evident on the face of the contract, one would need to examine your specific case before commenting or giving advice.
I advise you to consult a local lawyer for accurate guidance.
From India, Pune
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If your new company does not accept you without a relieving letter, then you are out of luck. Even after you have explained the matter, if they still insist on it, then you cannot take up the opportunity.
Taking legal action against your employer is really stupid. The court will hear your case 5 years from now. You will be without a job till then.
All the arguments you have given are spurious. You signed an agreement knowing what it said. Consideration is there - you were given a job. They are not asking for repayment of training costs (I assume no formal training was conducted). But they cannot be compelled to relieve you. At best, you get an experience certificate if your state shop act provides for it. If not, even that is not a compulsion.
Even if you go to the labor officer and complain, and he gets you a relieving document during a background check, they will say you broke the bond and tried to cause legal trouble, and you will be out on the street again.
You are basically in a bad position. So you need to tread carefully.
From India, Mumbai
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Taking legal action against your employer is really stupid. The court will hear your case 5 years from now. You will be without a job till then.
All the arguments you have given are spurious. You signed an agreement knowing what it said. Consideration is there - you were given a job. They are not asking for repayment of training costs (I assume no formal training was conducted). But they cannot be compelled to relieve you. At best, you get an experience certificate if your state shop act provides for it. If not, even that is not a compulsion.
Even if you go to the labor officer and complain, and he gets you a relieving document during a background check, they will say you broke the bond and tried to cause legal trouble, and you will be out on the street again.
You are basically in a bad position. So you need to tread carefully.
From India, Mumbai
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Hello Pushpinder,
I am surprised with your line "....on my date of joining they made me sign the service agreement without me realizing what I was signing was a kind of a bond of two years".
Frankly, you are not a kid born yesterday.....YOU ALWAYS had the option of NOT signing it.
But still you signed it. Did someone put a gun to your head to sign it?
Your Posting is a bit contradictory w.r.t the training & Visa.
Has the Company given you any training or not [DON'T get into the loop of that it was not anything worthwhile, etc]?
And did they apply for any Visa for you? Pl note that Visa Application costs to the Company....and cost also depends on the Visa Category.
You have not mentioned your experience level....but since you say that you have been on bench, I presume that you are NOT a Fresher for sure.
And when you knew all thru that there's a Bond, on what basis did you apply for other/new jobs in the first place?
All the points you mention SEEM surely afterthoughts now that you got another job.
And like Saswata Banerjee mentioned, going legal is NOT that simple/easy. Though there may be DEFINITE grounds for going legal, the practicalities will SURELY have to be kept in mind. I am sure you know this aspect of the Indian Judicial system.
Rgds,
TS
From India, Hyderabad
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I am surprised with your line "....on my date of joining they made me sign the service agreement without me realizing what I was signing was a kind of a bond of two years".
Frankly, you are not a kid born yesterday.....YOU ALWAYS had the option of NOT signing it.
But still you signed it. Did someone put a gun to your head to sign it?
Your Posting is a bit contradictory w.r.t the training & Visa.
Has the Company given you any training or not [DON'T get into the loop of that it was not anything worthwhile, etc]?
And did they apply for any Visa for you? Pl note that Visa Application costs to the Company....and cost also depends on the Visa Category.
You have not mentioned your experience level....but since you say that you have been on bench, I presume that you are NOT a Fresher for sure.
And when you knew all thru that there's a Bond, on what basis did you apply for other/new jobs in the first place?
All the points you mention SEEM surely afterthoughts now that you got another job.
And like Saswata Banerjee mentioned, going legal is NOT that simple/easy. Though there may be DEFINITE grounds for going legal, the practicalities will SURELY have to be kept in mind. I am sure you know this aspect of the Indian Judicial system.
Rgds,
TS
From India, Hyderabad
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TS,
Firstly, I would suggest keeping a check on how you communicate on public forums and please learn some manners. What I asked for was advice, not for any random person to vent out their other frustrations.
On my day of joining, the company said I had no option but to sign the agreement. If I did not, my offer would be withdrawn. Now, please tell me who in this country would risk their job by arguing with their company on day 1. Secondly, there was no special training and no visa costs, which I made clear in my post, hoping that people who give advice can comprehend the English language, which seems not to be the case with you.
Hence, I would suggest keeping your random, biased, and uneducated advice to yourself and stop misleading people in this forum who are looking for genuine suggestions.
From India, New Delhi
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Firstly, I would suggest keeping a check on how you communicate on public forums and please learn some manners. What I asked for was advice, not for any random person to vent out their other frustrations.
On my day of joining, the company said I had no option but to sign the agreement. If I did not, my offer would be withdrawn. Now, please tell me who in this country would risk their job by arguing with their company on day 1. Secondly, there was no special training and no visa costs, which I made clear in my post, hoping that people who give advice can comprehend the English language, which seems not to be the case with you.
Hence, I would suggest keeping your random, biased, and uneducated advice to yourself and stop misleading people in this forum who are looking for genuine suggestions.
From India, New Delhi
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