Employment bond - sales company
9 months ago
I have joined a sales company where there is bond of 2 years. But I have lefted in 4 months as they are excessively pressuring and extorting me for sales and letting me go to home on time. My health was detroited. I got fed up and lefted. They took my original document also and now demanding arbitrary amt 55k to me. What should I do? They are putting me in fear. Disturbing me
The validity of Employment bonds can be challenged on the basis of Section 27 of the Indian Contract Act,1872 which prohibits any agreement in restraint of trade and profession. The law states that an agreement (employment bond) will be illegal only if it restrains someone from exercising a lawful profession/ trade/ business. As per the mandate of Section 27, any terms and conditions of an agreement that directly or indirectly compels the employee to serve the employer or puts a restriction on them joining the competitor or other employer is not valid. The employee has the right to resign from the employment even if he has agreed to the employment bond to serve the employer for a specific period of time. In the case where the employer is able to prove that the employee is joining the competitor to disclose the trade secret then the court may issue an injunction order restricting the employee from joining the competitor. The following are the requirements of a valid employment bond agreement. 1) The agreement must be signed by the parties with free consent. 2) The conditions stipulated must be reasonable and 3) The conditions imposed on the employee must be proved to be necessary to safeguard the interest of the employer. 4) The employment bond is to be executed on a stamp paper of appropriate value in order to be valid and enforceable. You may serve a legal notice to the Company and get in touch with a Corporate Lawyer experienced in the subject for guidance and steps.
Anonymous
Replied 8 months ago
Yes sir, and the total earnings I have earned for 4 months were 62k and now company is demanding 55k. How I pay this? And it was a sales job, except giving product knowledge they learned us nothing, and that too is in pdf form we need to learn all about products. I did. No loss to the company and no money they have spent on my training. But they are saying that they will take legal actions against me. What if they send legal notice to me? Will I also need to send legal notice to them ? And what if i don't do anything, I mean if I don't hire advocate. Thn, will they call me directly to the court for giving statement? Also the company's corporate office is in Delhi and regional office is in Bhopal. And I am from Indore. Because I hire advocate for sending legal notice and for fighting case in court I need to pay them so much, that I can't. And if in case I have to hire an advocate , so after winning case will I receive all the amount from opposite party that I have spended on legal procedures?? Please Sir reply
Check the Bond Agreement: Review the bond agreement you signed when joining the company. Pay attention to the terms and conditions, including any clauses related to early termination and financial penalties. Indian labor laws generally protect employees from exploitative or unfair agreements.
Labor Laws and Employee Rights in India: Indian labor laws, including the Industrial Disputes Act and the Shops and Establishments Act, provide certain protections to employees. For instance, they regulate working hours, overtime, and harassment in the workplace. If the company's actions are in violation of these laws, you may have grounds to challenge their demands.
Mediation or Conciliation: Consider seeking mediation or conciliation services to resolve the dispute outside of court. Many Indian states have labor departments that offer such services to help employees and employers settle their disagreements amicably.
File a Complaint: If the company is not cooperating and continues to harass you, you may file a complaint with the labor authorities or the regional labor commissioner's office in your state. They can investigate the matter and take appropriate action if they find any violations.
Thank you
Anonymous
Replied 8 months ago
Yes sir, and the total earnings I have earned for 4 months were 62k and now company is demanding 55k. How I pay this? And it was a sales job, except giving product knowledge they learned us nothing, and that too is in pdf form we need to learn all about products. I did. No loss to the company and no money they have spent on my training. But they are saying that they will take legal actions against me. What if they send legal notice to me? Will I also need to send legal notice to them ? And what if i don't do anything, I mean if I don't hire advocate. Thn, will they call me directly to the court for giving statement? Also the company's corporate office is in Delhi and regional office is in Bhopal. And I am from Indore. Because I hire advocate for sending legal notice and for fighting case in court I need to pay them so much, that I can't. And if in case I have to hire an advocate , so after winning case will I receive all the amount from opposite party that I have spended on legal procedures?? Please Sir reply.
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