Offer Letter Red Flag Checker
Paste your offer letter text below. The tool scans for common red-flag clauses — bond periods, clawback conditions, variable pay traps, restrictive covenants, and more — and explains why each matters.
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Works best with the full offer letter text. Personal details (name, address) are not needed.
Frequently Asked Questions
A bond period requires you to stay with the employer for a set duration or repay a sum (training costs, joining bonus, etc.). In India, bonds are legally enforceable only if the employer has made a specific investment in your training — general employment bonds are often held unenforceable by courts. However, defending a case is costly. Always clarify what the bond covers before signing.
A clawback clause requires you to return compensation already paid — most commonly a joining bonus if you leave within a specified period (typically 12–24 months). This is generally enforceable. Negotiate the clawback period down or ask for it to be pro-rated (e.g., 50% returned if you leave after 6 months of a 12-month clawback window).
Variable pay traps occur when a significant portion of your CTC is marked as "performance-linked" or "discretionary" with no clear targets. You may never receive it in full. Red flags include: variable >30% of CTC with no defined KPIs, "at the discretion of management", or "subject to company performance". Always ask: "What % of employees received 100% variable last year?"
Post-employment non-compete clauses (restricting where you can work after leaving) are generally not enforceable in India under Section 27 of the Indian Contract Act, which voids any agreement in restraint of trade. However, non-solicitation clauses (not poaching clients or colleagues) have been upheld in some cases. In-employment non-competes are enforceable.