Newbies tied in by Rs 2 lakh bond | india | Hindustan Times
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Newbies tied in by Rs 2 lakh bond

It is not just their faith in the company but also other difficult ties that bind which has Satyamites holding on to the company amid a fraud that threatens their career prospects.

india Updated: Jan 15, 2009 21:50 IST
Ruchi Hajela

It is not just their faith in the company but also other difficult ties that bind which has Satyamites holding on to the company amid a fraud that threatens their career prospects.

It is not clear how many of the 53,000 employees in Satyam Computer Services are recently hired, but they clearly run into thousands. Those with under two years of experience have a unique problem—they cannot leave easily as they are covered by a financial bond.

Like most IT companies, fresh recruits at Satyam have a two-year bond with the organisation, which means they have to serve the company for two years or pay Rs 2 lakh to the company in case they quit before the bond period.

“There is a two-year bond for freshers and is valid as of today until any change in this is announced,” said a Satyam spokesperson.

Headhunters are of the view that contractual arrangements are typical of IT companies.