Where an employer decides to include a clause on the reimbursement of training costs, it should also not exercise it in a discriminatory manner. For example, an employer cannot treat a worker less well because of pregnancy or maternity, by suspending the remaining time under a reimbursement clause for the period during which the worker is on maternity leave and not compensating for this as active service. We are often asked to design this type of agreement for employers and advise us on their feasibility. As usual, the answer to the question is whether the agreement is applicable, whether it depends on the circumstances and how well the agreement was drawn up. The applicability of an agreement to reimburse training costs can be really called into question on two legal bases: firstly, because they constitute a penalty clause and, secondly, because they hinder trade. I will look at each of these data one after the other. Not only will your company not benefit in the short term from the training it has paid for, but it would end up paying again for the same training if it started a replacement again. Consider the stuck costs inherent in any recruitment process, and you can see how that could put a small business in a really tough position. Properly executed, training agreements are a completely legal and appropriate way for companies to protect themselves financially. However, if you decide to place one, there are a few things to watch out for.
The main differences were that the L.A. program was both mandatory and professional, while the USS-POSCO program was voluntary and training was transferable to other jobs. So here`s the realization that employers can require employees to reimburse education costs if the employee resigns prematurely, as long as the education program was both voluntary and not specific to the employer`s operation. If you`re running a small business, it`s important to help your team grow and grow – but you also need to make sure that any investment you make in your team is protected. Here, a training contract can help. .