Hello all, I signed 24 months with my current employer while joining back in 2021, but now I got a better opportunity and would like to resign.
Considering the notice period of 90days still, there'll be 1month left to complete the bond period. I would have served 23 months out of 24 months at the end of the notice period.
My employer is asking me to pay 125000 compensation amount since I'm breaking the bond.
Shouldn't the compensation be on the pro rata basis? It's not reasonable to pay the whole 125000 after serving the company for 23 months? Is it legal company charging the total amount? How can I move out without paying the total amount, please advise.
Considering the notice period of 90days still, there'll be 1month left to complete the bond period. I would have served 23 months out of 24 months at the end of the notice period.
My employer is asking me to pay 125000 compensation amount since I'm breaking the bond.
Shouldn't the compensation be on the pro rata basis? It's not reasonable to pay the whole 125000 after serving the company for 23 months? Is it legal company charging the total amount? How can I move out without paying the total amount, please advise.
You may reveal your identity with your place before asking this question. You need not reveal
your company's name .
Why should we answer to such questions, when we, even, do not know to whom we are answering.
From India, Aizawl
584your company's name .
Why should we answer to such questions, when we, even, do not know to whom we are answering.
From India, Aizawl
@Rkn61, I’m sorry I wish not to reveal my identity, i work for IT firm in banglore and I’m facing above issue that i mentioned. Can u please help me on that?
Hi,
Where ever possible try and complete the bond period. If you leave without completing the bond period :
1) Your employer will harass you by sending legal notices to you.
2) In case if they come to know about your new employer might communicate to them that you are not properly relieved and it is a case of dual employment etc.
3) In case of any future BGV you will not get positive feedback from them.
4) they will not consider you for future re-employment.
Talk to your new employer and ask for some time.
When you are not sure of completing the fixed period you shouldn't have signed the Bond/Agreement. Any how now focus on how to get out of it.
From India, Madras
Where ever possible try and complete the bond period. If you leave without completing the bond period :
1) Your employer will harass you by sending legal notices to you.
2) In case if they come to know about your new employer might communicate to them that you are not properly relieved and it is a case of dual employment etc.
3) In case of any future BGV you will not get positive feedback from them.
4) they will not consider you for future re-employment.
Talk to your new employer and ask for some time.
When you are not sure of completing the fixed period you shouldn't have signed the Bond/Agreement. Any how now focus on how to get out of it.
From India, Madras
Hi,
Added to the above , not sure whether you had submitted security cheques with your employer. If so be cautious. In case if you leave without any information, they will deposit the cheque with the bank and in case of dishonour it will become a criminal case.
From India, Madras
Added to the above , not sure whether you had submitted security cheques with your employer. If so be cautious. In case if you leave without any information, they will deposit the cheque with the bank and in case of dishonour it will become a criminal case.
From India, Madras
Hello Vmlakshminarayanan,
I'm not thinking of absconding, i need relieving letter from my existing employer, I'm on notice period now..i am just hoping if the compensation i need to pay to be on pro rata basis..
Since it's only 34days i only want to pay amount in proportion to days.
But my HR is asking me to pay total.
I performed very well till now, and the employer would have recovered all the costs they spent on my training. And legally it's not correct to pay total amount right?
I'm not thinking of absconding, i need relieving letter from my existing employer, I'm on notice period now..i am just hoping if the compensation i need to pay to be on pro rata basis..
Since it's only 34days i only want to pay amount in proportion to days.
But my HR is asking me to pay total.
I performed very well till now, and the employer would have recovered all the costs they spent on my training. And legally it's not correct to pay total amount right?
Adding to above comment, i have not signed on any bond paper, it was just printouts of agreement, and i have not given any cheque or document.
Hi,
In that case make a request. Explain them that you are not in a position to pay such huge amount and considering the fact that more or less agreement period is completed only with a shortfall of 34 days request them to consider and negotiate. Most of the employers will accept and charge some nominal amount say one month gross or so.
It all depends how you present humbly and request them.
From India, Madras
In that case make a request. Explain them that you are not in a position to pay such huge amount and considering the fact that more or less agreement period is completed only with a shortfall of 34 days request them to consider and negotiate. Most of the employers will accept and charge some nominal amount say one month gross or so.
It all depends how you present humbly and request them.
From India, Madras
As per Section 73 of the Contract Act 1872, the compensation for any loss or damage caused due to a breach of a contract has to be that amount which naturally arose in the usual course of things from such breach, or which the parties knew, when they made the contract, to be likely to result from the breach of it. So when you have served nearly 23 out of the 24 months you were required, the compensation has to be proportionately reduced unless the mutual agreement is to the contrary. So, pl see the contract clause and make your submission accordingly.
From India, Mumbai
From India, Mumbai
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The Maharashtra Shops And Establishments (Regulation Of Employment And Conditions Of Service) Ac.pdf
Service agreement.doc