Paying back course costs to employer

lauzt1987

Looking for a bit of advice. I have been with my employer since April 2010, so 2 and a bit years. During this time, I have completed a qualification which they have paid for. My contract states that I need to pay back the course costs if I leave before three years.

I am looking to leave (for reasons I won't go in to) and am through to the final stages of a a job interview (will hopefully find out this week if I have the job or not.)I just want to be prepared in case I need to hand in my notice soon.

I have accepted that I will need to pay back the course costs but just wondering if anyone has been in this situation and how long your employer has given you to pay back the money? Can they ask for all the money in one go or do they usually allow you to pay it up over time? It's about 2k so not insignificant and I think it will need to go on the credit card if I have to pay it off in one go!

Thanks in advance for any advice.

Sambucus_Nigra

Some do - most will want it as you leave. Some take it out of your last pay packet and pursue you for the rest if it's not forthcoming.

saintjammyswine

Usually there are reducing phased payments based on length of service since the course, is this the case?

Might be worth an 'in principle' conversation or email with HR/Payroll without going into specifics.

Uncertain

It is worth noting that in order to be able to recover training costs there must be a specific signed agreement in place. A general line slipped into an employment contract or handbook is not enough. It must also be proportionate and reasonable.

Assuming there is a valid agreement it will normally specify both the proportion and how the money will be repaid.

marybelle01

You are more likely to get an agreement from the employer if you are proactive and suggest something before they do. Where I work they will permit repayment over 6 months - it's still a lot of money for some, but better than all at once.

Pete111

marybelle01 wrote: »

You are more likely to get an agreement from the employer if you are proactive and suggest something before they do. Where I work they will permit repayment over 6 months - it's still a lot of money for some, but better than all at once.

Agree - you should rasie this as a discussion point when you give notice.

It may also be also worth negotiating with your new employer for them to reimburse your old firm as part of your contractual agreement - if they are keen to bring you on board then an extra one off payment of 2k may be feasible. You would then have to sign up to a similar agreement with your new company however

It is not uncommon for a new firm to take on the burden of the fees as after all, they will be benefitting from your newly learned expertise.

lauzt1987

Thank you for your helpful advice everyone. I will bring it up if and when I hand in my notice. Thanks.

zildjian

Just for a figure of reference, a company i worked for operated this as what they expect to receive depending on when you leave.

Leaving after:
1 year: pay 100% back
2 years: pay 50%
3 years: 25%