employment bond

Sir,

I just needed to ask some questions and i hope you can give me some advice..

After i graduated from college in an aviation engr'ng course, while i am waiting and reviewing for my board, i first applied to an aviation company on their maintenance training program in which you will be hired as an aircraft mechanic after you have passed all the exams and trainings. the training program lasted for almost 6 mos. with 4 mos. classroom and practical training consisting of 12 modules and 43 days of on-the-job training on the field..the training program has a contract bond that states "if you pass as their trainee you will be hired as their employee and bind yourself
for a period of at least 7yrs from the date of employment and use your acquired skills as an employee of the company under terms of employment...and shall not for the same period, use his acquired skills for the benefit of other parties/employers".."In case the TRAINEE, for any reason whatsoever, is unable to accept the company's offer of regular employment, the TRAINEE, undertakes shall reimburse the company for the cost of training as well as any allowances he have received from the company in the course of the training"...kya lng after nmen ma hired as employees ndi na hire as aircrafts mechanics kundi as cabin specialist na ndi nman nmen npagaralan o na discuss man lng sa mga modules nmen..we know nman na wlang nkalagay sa contract na they will hire as aircraft mechanics.. pero meron dun na nkasaad na kylangan nmen gamitin ung na acquired nmen na skills dun sa training bilang employee nla..pano nmen mgagamit e ndi nga nla kme gnawang ganun!.pero ok lng sna kse pde nman kme mg bid ng position nmen sa gs2 nmen na position after 2 yrs sa company so pinagbigyan nmen cla at isa pa licensed engr. nman ako kya sbe ko mkakalipat dn ako after 2 yrs.

but now with the financial stability of our company nka freeze lhat ng movement internally ng mga tao wlang mga bidding at khit external application ng tao e wla dn bka nga mgbawas pa cla kya after more than 2 yrs working with them i just wanted to resign from my company to seek better opportunity and to eventually use my educational background as a lic. engr. sa ibang avaiation company na ndi nman nla ka kumpetensya dhil MRO company lng cla..kya lng nung ngtanong ako sa hr regarding sa resignation ko cnbe nla na kylangan ko daw mgbayad ng 500k bilang cost nung training kundi ay they can sue me daw sa pglabag nung contract at ndi daw ako mabibigyan ng clearance galing sa kanila..

pde ko po ba kwestyunin sa korte ung cnasbe nla na 500k na worth nung training ko e ndi nman aircarft type rating un na katulad ng training ng mga piloto at ndi rn nman nkasaad ung 500k dun sa contract na pinirmahan ko? "In case the TRAINEE, for any reason whatsoever, is unable to accept the company's offer of regular employment, the TRAINEE, undertakes shall reimburse the company for the cost of training as well as any allowances he have received from the company in the course of the training"

ma i ko- konsider po bng unjust enrichment ung gagawin kong resignation e ndi ko nga ngamit ung training na pinagmamalaki nla at isa pa halos pareho lng nman un ng mga curriculum ko sa college mas madami pa nga po ako alam sa knila dhil engr'ng nga ako at ang ipinagkaiba lng e ung practical training nla?

tama po ba na ndi ako mabigyan ng clearance at may karapatan po ba clang ipa hold kme sa immigration kpag lumabas kme ng bnsa khit na mgreresign nman ako ng maayos at willing nman ako mgbayad nung training kung sakali bsta wag lng ganun kalaki ung halaga?..meron po kse memorandun circular regarding sa mga aircraft mechanics at pilot na kylangan muna ng clearance ng company bgo mkalabas ng bnsa..requirement po sa poea..pero nkalagay lng dun e ung mga senior mechanics lng meaning mechanic "A" - "B"
e mechanic "C" pa lng nman ako e..

last po kng sakaling dalhin nla sa korte ung case e may chance po ba ako na manalo?..

thank you po sana po matulungan nio po ako..

need some replies pls..

A bond by itself is not unlawful, but it has to be reasonable. I'm afraid the Supreme court has already rule that it is still unjust enrichment even if you did not benefit from the training by resigning because the company still has the right to make use of its investment.

the question here for me is whether 7 years is too long. unfortunately that cannot be answered here without a through examination of the value of the training and how the company earns it back. you can certainly challenge it, but it will be at your own risk if you indeed resign.

I am aware that there are some burdensome restrictions to pilots and mechanics requiring you to give notice of 6 months for resignation. I am not aware of the guidelines regarding prevention from leaving. if there is a provision, then it is considered valid until voided.

if you should not be covered by a hold departure order then the remedy is to question it with the authority who issued it.

sir,how about the 500k na cost of training daw na babayaran , hindi nman nkalgay un sa contract na pinirmahan ko e?if they file a case against me and manalo cla, sapilitan ba nila ako pgbabayarin ng amount na un? pano kng wla nman ako pambayad sa ganun kalaki na amount ano po pede mangyari?wla nman akong mga properties na pgaari sa mga parents ko lng ako nkatira kukunin ba nla ung mga properties ng parents ko at mg a-appear ba un sa nbi kpag kumuha ako ng nbi clearance?..

how much po ba usually ang attorney's fee?khit estimates lng if ever i will need a legal advice regarding my situation?pki pm na po sakin pls...thanks

if they file a complaint against you, it will be their burden to prove what damages they sustained. if they win anything, then the sheriff will try to collect from you, if there is nothing to collect, di wala.

cost of a lawyer depends on which one you retain.

Hi Atty LLL. Your advice have been really been useful. Thank you for putting up this site. Pano po pag yung damages na naka stipulate sa contract is liquidated damages? do they still have to prove it?

I am in the BPO industry. I am contemplating leaving my Company after only serving half of my 4 year contract. My contract stipulates a fixed amount of damages (750k) plus the actual cost of training in the event that I leave.

Can they enforce the contract in the first place? The contract is too onerous. My training abroad is only for 2 years, but the requirement is to stay for 4 years. It wasn't actually a training program. Our head office just needed additional manpower to help in their normal operations. I didn't gain any knowlegde as the work was the usual work i do back home.

Can this qualify as a contract of adhesion wherein I had no choice but to sign the contract (3 days before i left). If i don't sign i will lose the trust of management and my loyalty will be questioned (and possibly my future in the Company)?

What remedies are available to strengthen my case of leaving my Company?

once you resign, what you will first experience is that they will not release your last pay and clearance. you can't do anything to stop them from filing a case against you to collect.

try to get proof of the lack of training you received there, and that it was just a manpower placement. did the agreement state what training you were supposed to receive.

here is the case where the supreme court ruled regarding employment bonds: http://sc.judiciary.gov.ph/jurisprudence/2007/september2007/170928.htm

Thanks for the link. Very helpful. I have proof that the placement is not really a training.

What do you think are the chances of the court ruling that the contract is unenforceable?

Can they claim the liquidated damages stipulated in the contract?

that would be asking me to comment on the merits of your case, and that would be dangerous without a full proper review. besides it will be one sided, i wouldn't know what the company will allege and prove.

have they ever actually claimed from an ex-employee? you will have to weigh the risk of what you are planning.

one thing i sometimes advise, if you can't win, make sure the other side can't either. if the company wins and you don't have any properties registered in your name, then they don't have anything to execute against.

I have no idea if they have sued someone else before. Assuming I lose the case and move to another Company, can they execute against my salary? Can the court require my employer to withhold a portion of my salary as payment of the debt?

One more question, what if the property is under the name of my wife and obtained during our marriage, can they execute against the property?

Great advise by the way.

i used to work in a bpo before and they also made us sign those, pero hindi naman kami na demanda for not complying with the contract, anyways yung isang kasama namin nagpa medical tapos nag resign, ang conclusion ko na lang dun i dont think na magdedemand pa yung company kung valid ang reasons mo, sobrang itim naman ng budhi nila nagkakasakit ka na gusto ka pang magtrabaho, lalo na kung shifting schedule ka...ang tingin ko they will be more than happy to let you go. i just resigned for family reasons.

there was poster here who was sued by the company in small claims court. the judge said the bond was unreasonable but still granted 20k in damages because he left without notice.

Attorney patulong naman po. Nag trabaho po ako sa isang BPO last year ng mahigit 2 buwan. At nung december 2010 ay na terminate po ako. Naka hold po ang sweldo ko nun at sabi nila ay makukuha ko daw sa final pay ko. Pero naka tanggap po ako ng demand letter mula sa kanila at nag sasabing me utang pa daw ako ng Php 10,000 sa kanila dahil sa pag terminate ko sa CONTRACT BOND. Hindi ko na po nakuha yung final pay ko me utang pa ako. Patulong naman po. December po noon at nag tiis yung mga anak ko na alang pamasko dahil hinold nila yung sweldo ko. Salamat po attorney

your remedy is to file a money claim at nlrc

Attorney, patulong po,

Licensed Engineer ako at engineer trainee ang nakalagay sa kontrata sa dati kong trabaho. Nag-resign ako dahil halos mag-iisang taon na ako sa kumpanya pero walang napapala ang career ko as an engineer dahil wala naman silang training at seminar na binigay sa akin. Sinalpak lang ako bigla sa isang department at binigyan ng clerical work na halos lahat ay hindi pang-engineer. Parang sekretarya lang ng boss ko ang trabaho ko. Lahat ng bago kong natutunan ay sarili kong kusa at natutunan ko lang kung hindi ako busy sa mga paper work. Nagtatanong tanong ako sa mga mekaniko at tumutulong minsan sa kanila. Kaso sinisingil ako kumpanya ng PhP 36,000 as reimbursement daw sa training expenses kahit wala naman akong training na natanggap sa kanila. Nakalagay sa kontrata na magbabayad talaga ako kung sakaling magresign agad ako within 3 years. Pero nakalagay rin sa kontrata na ite-training nila ako as an engineer sa departamentong inassign sa akin.

Puwede po bang hindi ko sila bayaran kasi hindi rin naman nila ako binigyan ng matinong training at wala naman silang ginastos sa "training" ko?

Eto po yung mga eksaktong nakasulat sa kontrata na may kinalaman sa tanong ko:

1. You shall undergo a training period of six (6) months commencing on 28 January 2011 and terminating on 28 July 2011 subject to extension should the need arise.

2. During the six-month period, you will be working with us on a trial basis and we shall provide you with theoretical and on-the-job training.

3. If upon appraisal of your performance as Trainee, you are found qualified for the job, you shall be given the status of probationary employee for six (6) months upon completion of the six-month training period. Your conversion to regular status shall be determined on the basis of such standards as satisfactory work performance, acceptable attendance record, compliance with rules and regulations and the terms of this training contract, qualification and suitability for the regular job, and operational requirements of the company.

4. Upon acceptance of this contract, you hereby obligate yourself to serve the Company for a minimum of 36 months commencing from the date of your probationary employment with the company. Should you fail to to complete the 36-month period or in the event your services are terminated by the Company the training expenses incurred by the latter amounting to Six thousand pesos(Php.6,000.00/ month). A fraction of half month is considered one month.

additional item pa po:

5. For giving your entire time and attention to the training and/or work assigned to you during the said training period, you shall be paid a training allowance of Ten thousand pesos (Php10,000.00) per month, payable every 15th and 30th of the month.

Nagfa-fall po ba ito sa highly unreasonable na training bond? Anong legal action ang pwede kong gawin dito. Thank you po.

Oo nga pala atty, nagbigay po ako ng 30 day notice bago magresign. Yun po yung nasa kontrata. Ano po yung legal action na pwede kong gawin? Baka hindi po ako ma-employ sa lilipatan kong kompanya kung wala po akong clearance.

Additional info pa po:

Libre po yung pagtira namin sa barracks kasama ko mga mekaniko. Sagot ng kompanya yung tubig at kuryente namin. Meron din kami service mula barracks hanggang sa yard na pinagtratrabahuan ko kasama mga mekaniko. Hindi maganda yung bahay. Tapos minsan wala yung service vehicle. Yun lang po yung mga benefits dun. Pero makatarungan po ba yung P6000 na reimbursement sa P10000 na sweldo kasama yung mga benefits?

Atty, baka po maunsyami ang employment ko sa lilipatang kumpanya. January 2 na po ako magstastart. Sabi po ng lilipatan kong kumpanya na okay lang na to follow yung clearance pero hindi ko natanong kung kailan yung deadline. Ano pong legal action ang pwede ko pong gawin kasi wala na nga akong training, mababa pa sweldo. Malinaw na wala silang ininvest sakin para singilin ako ng ganun kataas? Atty. reply naman po. Salamat.

if you read the other threads on bonds, you will see that if you don't pay the bond, they have to file a case to collect from you. they will be the ones to have to prove that they are entitled to their claim.

Hi Atty,

Na employ po ako last Feb 8, 2010. with 2 years bond po. Ngyon po ang question ko po I filed a resignation last Dec 26, 2011 pero effective pa po sa sya Feb 26, 2012 para macover yung bond ko, thru an email sa boss ko tapos nagbigay din po ako ng hard copy which she didn't signed. Pano po kapag hindi nila inapprove yung resignation ko? bali 60 days notice na yung gagawin ko to make sure na papayagan nila ako. Kaso sabi ng boss ko d pa raw cgurado yun. Ano po gagawin ko kung hindi po nila icleared sa company.ano po ba dapat kung gawin gulong gulo na po ako...maraming salamat po.

file a money claim at nlrc

Atty,

Salamat po sa advice. Nakita ko po to sa contract ko...

"The Employee recognizes that his/her resignation prior to the stated 2 yr period will cause the company to incur further losses in terms of oppurtunity costs, recruitment and training and work disruption.

In the event that the employee terminates his/her employment with/without just cause before the completion of twenty four months of service from the effectivity date of this contract, the emploee agrees to indemnify the company an amount of 100,000 to cover all the expenses incurred in relation to the employment. This shall be paid within thirty days from the date the resignation/termination of services is formally submitted. In case the employee is dismissed for just cause under the Labor code within the said twenty four-month period, the Employee shall also be liable for the payment of the said liquidated damages.

Any expenses incurred by the company for any special or external training of the employee shall be subject to a separate agreement with or undertaking by the employee."

there is no law which requires the employer to issue a clearance or an employment certificate. if they won't issue one, there is no legal remedy to force them to do so.