Regarding service level agreement bond

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

16 August 2014 Hello Friends
I am C.A. doing practice from last 1 year 6 month in my city Bikaner
I am thinking to Go for Job. But Generally every Co. bound to employees to for 2 & 3 year for work otherwise we have to repay to co. 6 months salary.

I want to know that
1. Does co. really execute the bond if we leave to job.

2. Does this bond is valid. Bcz they are limiting our business & professions Scope.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
Follow

16 August 2014 If you leave the job they will not settle your dues unless your bond obligations are fulfilled.
If your switching over to other companies they will insist for your relieving order at this time you have to fulfill your bond obligations.
If you are coming back to practice you can simply leave your job and forgo only your dues outstanding at that time.
Usually they will not take legal action.

Querist : Anonymous

Querist : Anonymous (Querist)

16 August 2014 Ok but tell me its not against law.. Bcz as per contract Act. any agreement which limit the scope of business & Profession will void ab initio.

How can a company compel to a person for do the job without any payment.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
Follow

18 August 2014 It is not against law. Your scope of business or profession is not limited, whenever you want to leave the job you are allowed to leave but by paying compensation to the company who have incurred some expenses in your recruitment.
You are paid for the work you have done, the payment you are making while leaving the job is a compensation to the company.

Querist : Anonymous

Querist : Anonymous (Querist)

19 August 2014 But i read a judgement in which written that no co. can bound to employee to work for a period and can`t demand some compensate money at the time of leave the job..

But company incurred a expenditure on training to employee then company can recover only training cost from his employee at the time of leave the job before stipulated period...

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
Follow

19 August 2014 Presently the companies are following this practice, but nobody is willing to seek legal remedy because it is time consuming.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now