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UI need advice for a friend who joined a startup in January as a Junior Software Developer. His offer letter said that for the first six months, he wouldn’t get any salary, and after that, he would start getting paid on incremental basis. It also mentioned a three-month qualifying period, and if he passed that, he would have to stay in the company for two years. He agreed and joined, but the actual work turned out to be completely different from what was promised.
Instead of doing software development, the company sends employees to temples and public places to collect user data, even during weekends. They give them crazy targets like collecting 6,000 people’s data, which is stressful and has nothing to do with his role. The company does provide some training in software technologies, but it’s useless since the work is totally unrelated. To make things worse, the CEO keeps threatening employees, saying that if they try to leave, he will take legal action against them.
The worst part is how they handle salary and PF. Employees are forced to pay ₹12,000 from their own pockets every month. The company then returns ₹10,000 as salary and deposits ₹2,000 into their PF account, meaning they are just giving employees their own money back. My friend gave his UAN, PAN, and Aadhaar details during onboarding, but his February PF amount hasn’t even been credited yet. Now they are asking him to pay another ₹12,000 for March, saying they will process both months’ PF together.
Now that he has completed three months, he wants to quit immediately, but the CEO is threatening legal action. He is also scared that the company might somehow block him from getting another job. He just wants to leave without trouble, but he’s worried about what will happen to his PF and future job prospects.
Can he just quit without issues, or can the company actually do something against him? What should he do next? Would really appreciate any advice!
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A1. Did they created any PF account?
2. To whom he/she transferred money? Personal account or company current account? Hope it’s digital.
3. Is there any bond?I think he can’t quit and nothing to worry about as the company itself is a fraud. He is just threatening because your friend is fresher.
Next time never ever join such companies. Either work for free to get some knowledge or join if they pay salary out of their pockets.
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U1. My friend already has a PF account which was created by the previous employer. He provided his UAN number, PAN and aadhaar during onboarding
2. It’s not a digital transaction. Employer asked for cash only.
3. It was mentioned in the offer letter that the employee must serve 2 years in the company. They have taken signatures on it, but it’s only a color print. No notaryAgree to your last point. should study more about the company before joining. Lesson learnt!
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DDon’t give them any more money. Not filing PF is a criminal offence, and an FIR can be filed for criminal breach of trust. Cops won’t take this seriously, so take 4-5 employees along with you so you can pressurize them to act. Don’t worry about legal proceedings; just file a complaint with the labour commissioner. You don’t even need a lawyer to do that. Give all details with as much proof as you can collect.
The advice provided here is for informational purposes only and does not constitute professional or legal counsel. For personalised advice, please consult a qualified professional.
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