No work, no salary, still Rs 5 lakh due? Techie's shocking job exit story goes viral
An Indian software professional recently shared his troubling experience after stepping away from a job offer on the day he was supposed to join. Having gone through the entire hiring process—including interviews, documentation, and onboarding preparations—he chose not to proceed with the role due to unforeseen personal and professional factors. The decision was promptly communicated to the company via email on the very day of onboarding.
Believing that notifying the organization early and abstaining from accepting any compensation or using internal company assets would close the matter, the employee thought it was a clean break. However, to his dismay, he received a formal communication later from the company demanding a hefty recovery sum of Rs 5,00,000. The employer claimed this amount as compensation for violating the terms of a pre-signed agreement, alleging
breach of contract
or failure to adhere to a commitment, often referred to as a 'bond.'
The unexpected legal demand left the individual confused and anxious. Seeking clarity and assistance, he turned to Reddit, posting his story to get insights from others who might have faced similar issues. The overwhelming response from users painted a familiar picture of how companies sometimes leverage fear and misinformation to enforce questionable contract terms.
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One user recounted facing employer intimidation during their notice period and decided to delve into the legal framework governing such employment agreements. They discovered that many organizations exploit employee ignorance about their rights under
Indian labor laws
. According to prevailing legal interpretations, a bond or contractual agreement demanding financial penalties is not valid unless it has been formally executed on stamped paper and includes clearly defined terms, including monetary investments made by the company on training.
Another respondent emphasized that without significant training costs incurred by the company, no organization can legally demand such a recovery. Indian employment law recognizes only 'reasonable recovery' for quantifiable expenses like technical upskilling or certifications, not arbitrary penalties imposed for withdrawal or resignation. Additionally, since the employee had not officially taken charge of any responsibilities, used company infrastructure, or drawn a salary, enforcing such a bond appeared both morally and legally questionable.
The consensus among Reddit users suggested that unless the company could prove a tangible financial loss directly tied to the onboarding of this individual, the demand carried no substantial legal weight. Several users even advised the employee to respond assertively to the notice, making it clear that he was aware of his rights and would not be bullied into paying an unjustified penalty.
Ultimately, the community reinforced an important message: contracts that appear binding must also be fair and legally sound. The incident sparked broader conversations about unethical practices in the tech industry and the urgent need for greater awareness about employee rights.
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