Bond- Agreement. Is It Legal In India?

  • Created Date03 Mrz, 2018
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There is Lot of Attrition BPO Domains, people are leaving the organization within six months. There can be so many reasons for this. So BPO Industries and other service Industries facing so many challenges about these attritions

I want to know about the Bond- Agreement. Is this legal in India?. Can we sign an Employment bond from an employee at the time of their Joining.  This can reduce the attrition of our company.

Please send me bond format if you have or guide me on this concern.

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Employment bonds aren't enforceable in India and thus are illegal. In simple terms, any agreement restraining you from leaving a corporation is void. As per the mandate of Section 27, any terms and conditions of an agreement that directly or indirectly compels the worker to serve the employer or puts a restriction on them joining the competitor or other employer aren't valid under the Indian law, the worker has the right to resign from the utilization albeit he has agreed within the employment bond to serve the employer for a selected period of your time.


One sided bond do not stand the scrutiny of law. However there are two sided bonds which can be used. Further details a post can be made.