Forcing an employee to work on a specific location
2 months ago
During the initial Offer, the company HR said that it’s a Permanent Work from Home verbally ONLY,
After around 1.5 years the company constructed a new facility on a Remote area,
Forcing the employee to report mandatory to the Office,
Due to the mental torture by the reporting manager in terms work politics & HR forcing to report to a remote area,
The employee resigned from the organization, by thinking to search for a new Job by keeping 3 months’ notice period in mind,
Now the HR & Manager, planning to torture that employee, to leave the organization forcing him to pay the notice period, blackmailing on terms of performance related to that employee,
That Manager gave a low rating to the employee, even without keeping the one 0n one discussion after the resignation intentionally,
Can an employee fight against this……….?
A.Dear Client,
The relocation of employees is a common aspect of employment, and regardless of being an intern or probationer, individuals are bound by the terms in their appointment letters. While management holds authority over activities like interviews, selection, appointments, promotions, and transfers, any discriminatory or malicious actions by the employer can be contested using Section 27 of the Indian Contract Act, 1872. This section prohibits agreements restraining trade and profession, stating that employment contracts are illegal if they restrict lawful professional activities.
According to Section 27, any terms in an agreement compelling the employee to exclusively serve the employer or imposing restrictions on joining competitors or other employers are not valid. Employees retain the right to resign, even if they have agreed to employment bonds specifying a specific service period. If the employer can prove that the employee is divulging trade secrets by joining a competitor, the court may issue an injunction order preventing such employment.
Furthermore, Section 73 of the Contract Act, 1872 allows for unliquidated damages, while Section 74 deals with liquidated damages. Compensation is only applicable if the breach of contract results in actual loss or damage to the employer.
In the given situation, if the individual is categorized as a workman under the Industrial Dispute Act (as defined in Section 2(s)), serving a legal notice to the company and then approaching the Labour Commissioner's office is advised for filing a complaint against the alleged arbitrary and unfair labor practices. If not holding a managerial or supervisory position, a civil suit against the company before the Civil Court is an alternative to seek appropriate relief after serving a legal notice.
The relocation of employees is a common aspect of employment, and regardless of being an intern or probationer, individuals are bound by the terms in their appointment letters. While management holds authority over activities like interviews, selection, appointments, promotions, and transfers, any discriminatory or malicious actions by the employer can be contested using Section 27 of the Indian Contract Act, 1872. This section prohibits agreements restraining trade and profession, stating that employment contracts are illegal if they restrict lawful professional activities.
According to Section 27, any terms in an agreement compelling the employee to exclusively serve the employer or imposing restrictions on joining competitors or other employers are not valid. Employees retain the right to resign, even if they have agreed to employment bonds specifying a specific service period. If the employer can prove that the employee is divulging trade secrets by joining a competitor, the court may issue an injunction order preventing such employment.
Furthermore, Section 73 of the Contract Act, 1872 allows for unliquidated damages, while Section 74 deals with liquidated damages. Compensation is only applicable if the breach of contract results in actual loss or damage to the employer.
In the given situation, if the individual is categorized as a workman under the Industrial Dispute Act (as defined in Section 2(s)), serving a legal notice to the company and then approaching the Labour Commissioner's office is advised for filing a complaint against the alleged arbitrary and unfair labor practices. If not holding a managerial or supervisory position, a civil suit against the company before the Civil Court is an alternative to seek appropriate relief after serving a legal notice.
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A.Dear Client,
The transfer from one place to another is a normal incidence of employment. Even if you are an intern or probationer you are governed by the terms and conditions of your appointment letter. Although, Interviews, selection, appointments, promotions, transfers etc all activities are the prerogative of the management, and yet against a discriminatory or mala fide action of the employer, can be challenged by invoking Section 27 of the Indian Contract Act, 1872 which prohibits any agreement in restraint of trade and profession. The law states that an agreement or contract of employment 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. Further, Section 73 of the Contract Act, 1872 makes provision for unliquidated damages. Section 74 of the Act deals with liquidated damages and no compensation is attracted for mere breach of contract u/s.73. or 74 of the Act unless such breach resulted in an actual loss or damage to the opposite party employer. So, in the prevailing situation, if you are not holding the position of Manager/Supervisor but a workman as defined u/s.2(s) of the Industrial Dispute Act then after serving a legal notice to the Company, reach out to the concerned Labour Commissioner office for filing a complaint against the Company to redress your grievance over alleged arbitrary and unfair labour practice. Otherwise, you have to file a civil suit against the Company before the Civil Court seeking appropriate relief.
The transfer from one place to another is a normal incidence of employment. Even if you are an intern or probationer you are governed by the terms and conditions of your appointment letter. Although, Interviews, selection, appointments, promotions, transfers etc all activities are the prerogative of the management, and yet against a discriminatory or mala fide action of the employer, can be challenged by invoking Section 27 of the Indian Contract Act, 1872 which prohibits any agreement in restraint of trade and profession. The law states that an agreement or contract of employment 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. Further, Section 73 of the Contract Act, 1872 makes provision for unliquidated damages. Section 74 of the Act deals with liquidated damages and no compensation is attracted for mere breach of contract u/s.73. or 74 of the Act unless such breach resulted in an actual loss or damage to the opposite party employer. So, in the prevailing situation, if you are not holding the position of Manager/Supervisor but a workman as defined u/s.2(s) of the Industrial Dispute Act then after serving a legal notice to the Company, reach out to the concerned Labour Commissioner office for filing a complaint against the Company to redress your grievance over alleged arbitrary and unfair labour practice. Otherwise, you have to file a civil suit against the Company before the Civil Court seeking appropriate relief.
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