BOND-BASED EMPLOYMENT: HOW RIGHT?
Recently, a forumer on Nairaland made a post to the effect that one of the banks in Nigeria sent him an email, threatening to take action against him for reneging on his bond-based employment. A bond-based employment contract is one in which the employee undertakes to pay or forfeit a certain sum if he leaves the employment before a certain period of time.
Companies that do this usually use it as a way to ensure their recruitment and, especially, training costs are not wasted.
For example, a bank that spends millions of Naira to train you will feel short-changed if after receiving their training, you just resign and go use the skills for a competitor. The bond-based contract will require you not to leave their employment for say 2 years, else you must pay a sum of money.
Many – as much as 80% of – companies don’t do this. Many companies don’t care if you come back from their training today and resign tomorrow, or if you get their job today, resume today, and resign tomorrow.
Personally, I find it difficult to argue against this practice for two reasons.
1, You were told in advance before signing the contract, so, by reneging, you deserve the penalty.
2, Most companies that do it spend a lot on training. It is morally wrong, even if legally debatable, for anyone to spend months undergoing a company’s training, only to resign after the training.
I can only advise anyone in this situation to read the employment contract very well before signing it. Do not enter into any contract that you know will not be able to fulfill.
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