Legal Question in Employment Law in India

My sister was offered me a single page document the next day of my joining indicating designation, salary and stating two conditions - She should work without break and in case she leave before one year she should pay back a sum to the company. They took away an orignal document. Now she is facing many issues and wants to resign. But they are compelling her to stay for the complete duration or demanding payment which we cannot afford they are threatening her with legal action and many staff told her about having same problem earlier also. pls advise what can we do.


Asked on 9/27/12, 8:35 am

1 Answer from Attorneys
Fca Prashant Chavan Expert Edge LLP

28.09.2012

Dear Sir / Madam,

Each and every employee is free to resign from the services of the Company of his / her own free will by giving a month's notice if confirmed, or a week's notice if on probation. It may be for personal reasons or even on health grounds. The Company cannot force an employee to work in the organization against his / her wishes as it tantamounts to bonded labour which is illegal in India.

Many Companies in India still insist on new employees signing a draconian Performance Bond for a year or two; which in my opinion tantamounts to bonded labour and needs to be put to an end by the Ministry of Labour & Employment, Govt. of India and declared criminal and illegal.

Please ask your sister to submit a simple resignation letter citing health grounds, with a request to return the original educational certificate, clearly stating therein that failing which you will report the matter to the local Police seeking their intervention.

Regards,

FCA Prashant Chavan

Mumbai

(You can also mail me for any further on-line advice at [email protected])

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Answered on 9/28/12, 7:36 am


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