Dear all,
I was an employee in a US-based IT company (Company X) in Chennai. I joined there as a fresher in August 2010, signing a service contract for 36 months. My brother signed the contract as my guarantor. The bond amount is 2.7 Lakhs, which is not pro-rated. The company gave me technical training for 1 month, after which I was directly put into a project. The work-life was totally hectic for me. The offer letter stated that the office timing is from 9 am to 7 pm. However, once I entered the project, that schedule was totally out of the question. When I left home at 9 am, I used to return to my room at midnight, and there were days it went up to 10 am the next day (more than 24 hours of tedious work). The pay scale was also not competitive compared to other companies, and there were limited pay hikes. Additionally, Company X was withholding Rs. 3000 every month from my salary as a retention bonus, which they claimed they would pay after 18 months of my service.
While my roommates and friends in similar companies were enjoying their work and earning well, I struggled to make ends meet. I found it extremely challenging to work under these circumstances. In December 2010, after 3 months, I was offered a job at CTS, which seemed like a better opportunity. When I discussed this with my HR, he expressed unhappiness and, after much deliberation, convinced me to stay. The pressures continued until October 2011. Despite being in software development, there was no peaceful atmosphere. Dogs barking continuously around us, demanding work to be done, was a common occurrence. Moreover, there was minimal appreciation for our efforts, except for an award given once every 3 months to the best performers, which seemed biased and partial.
At one point, due to health issues (back pain and asthma), I had to return to my hometown in Kerala. The doctor advised complete rest for a few days, which I communicated to my managers. As my illness persisted, the doctor recommended three months of full bed rest. I decided to resign from my position at "Company X" for the benefit of both myself and the company. I submitted my resignation to the manager along with medical certificates for verification. The response from the HR department was as follows: "Your resignation is unacceptable. The medical certificate you provided is insufficient. Failure to return to work within a week will be considered a breach of the service agreement. Legal actions will be taken against you and your guarantor for violating the 36-month service contract."
After recovering from my health issues, I began searching for a new job and eventually secured a lucrative opportunity abroad. Currently, I am working overseas.
However, Company X has initiated legal action against us. The first letter, from a local advocate in Chennai, was not delivered to me as I am out of the country. The same letter, received by my brother, demanded payment of 2.7 Lakhs within 10 days for breaching the service contract. We were unable to respond. Recently, they sent another letter stating that an arbitrator has been appointed to discuss the matter. My brother contacted the advocate, who informed him that he could not intervene at this stage. The arbitrator will now set a date for a hearing involving both parties—my brother and Company X.
My dear friends, please advise on the legality of this situation. I am deeply concerned. Your insights are greatly appreciated.
Best regards...
From United Arab Emirates, Dubai
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I was an employee in a US-based IT company (Company X) in Chennai. I joined there as a fresher in August 2010, signing a service contract for 36 months. My brother signed the contract as my guarantor. The bond amount is 2.7 Lakhs, which is not pro-rated. The company gave me technical training for 1 month, after which I was directly put into a project. The work-life was totally hectic for me. The offer letter stated that the office timing is from 9 am to 7 pm. However, once I entered the project, that schedule was totally out of the question. When I left home at 9 am, I used to return to my room at midnight, and there were days it went up to 10 am the next day (more than 24 hours of tedious work). The pay scale was also not competitive compared to other companies, and there were limited pay hikes. Additionally, Company X was withholding Rs. 3000 every month from my salary as a retention bonus, which they claimed they would pay after 18 months of my service.
While my roommates and friends in similar companies were enjoying their work and earning well, I struggled to make ends meet. I found it extremely challenging to work under these circumstances. In December 2010, after 3 months, I was offered a job at CTS, which seemed like a better opportunity. When I discussed this with my HR, he expressed unhappiness and, after much deliberation, convinced me to stay. The pressures continued until October 2011. Despite being in software development, there was no peaceful atmosphere. Dogs barking continuously around us, demanding work to be done, was a common occurrence. Moreover, there was minimal appreciation for our efforts, except for an award given once every 3 months to the best performers, which seemed biased and partial.
At one point, due to health issues (back pain and asthma), I had to return to my hometown in Kerala. The doctor advised complete rest for a few days, which I communicated to my managers. As my illness persisted, the doctor recommended three months of full bed rest. I decided to resign from my position at "Company X" for the benefit of both myself and the company. I submitted my resignation to the manager along with medical certificates for verification. The response from the HR department was as follows: "Your resignation is unacceptable. The medical certificate you provided is insufficient. Failure to return to work within a week will be considered a breach of the service agreement. Legal actions will be taken against you and your guarantor for violating the 36-month service contract."
After recovering from my health issues, I began searching for a new job and eventually secured a lucrative opportunity abroad. Currently, I am working overseas.
However, Company X has initiated legal action against us. The first letter, from a local advocate in Chennai, was not delivered to me as I am out of the country. The same letter, received by my brother, demanded payment of 2.7 Lakhs within 10 days for breaching the service contract. We were unable to respond. Recently, they sent another letter stating that an arbitrator has been appointed to discuss the matter. My brother contacted the advocate, who informed him that he could not intervene at this stage. The arbitrator will now set a date for a hearing involving both parties—my brother and Company X.
My dear friends, please advise on the legality of this situation. I am deeply concerned. Your insights are greatly appreciated.
Best regards...
From United Arab Emirates, Dubai
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Once an arbitrator gives any judgment against you, no one can do anything. Even if you approach court, the decision will be against you.
The question is why your brother is going, as he is just a guarantor. Unless you are present, a decision is not possible. He can give time and say that by that period the amount can be paid.
If you are out of the country and you have not received the letter, then in your absence, nothing can be done.
You do not have any proof where you can say that you have worked beyond your working time, 9 AM to 7 PM. If the company has made you work beyond that period, it's also against the law.
What you can do is consult a lawyer abroad and discuss with your present employer. Try to be abroad, though you would need to pay 2.7 L (negotiate more), claim for Overtime, show deduction on medical grounds which you suffered during previous employment.
You are abroad, so try to make the case with international law.
Indian law won't apply when it comes to international law.
Ask your brother to negotiate.
Regards
From India, Mumbai
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37The question is why your brother is going, as he is just a guarantor. Unless you are present, a decision is not possible. He can give time and say that by that period the amount can be paid.
If you are out of the country and you have not received the letter, then in your absence, nothing can be done.
You do not have any proof where you can say that you have worked beyond your working time, 9 AM to 7 PM. If the company has made you work beyond that period, it's also against the law.
What you can do is consult a lawyer abroad and discuss with your present employer. Try to be abroad, though you would need to pay 2.7 L (negotiate more), claim for Overtime, show deduction on medical grounds which you suffered during previous employment.
You are abroad, so try to make the case with international law.
Indian law won't apply when it comes to international law.
Ask your brother to negotiate.
Regards
From India, Mumbai
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