Software Training reimbursement

zmanvortex · Apr 24, 2006

Need your opinions here. My company has decided to purchase Autocad Electrical and they want me to sign an agreement that states I will need to reimburse the company for the cost of the training if I quit within one year.

I declined to sign the agreement.

I would think about signing a similar agreement for college tuition for some sort of degree, but I don't believe I should for software training that will be used in house.

Need some opinions. Thanks.

ndzied1 · Apr 24, 2006

I would ask if they would guarantee your job for that year (barring any felonious acts on your part) in return for your agreement to pay for the training if you leave.

Seems fair to me .... but what do I know.

In the end, what is going to happen is going to happen. Are they a small mom and pop shop that has been burned in the past? Are they a big corporation where you are more of a number than a name?

I could envision scenarios where I would sign and those where I would not sign.

ndzied1 · Apr 24, 2006

Of some interest is the fact that when it comes to tax time, you can claim un-reimbursed training expenses on your taxes but only if they are requried to keep or perform your current job and DO NOT qualify you for a new job.

zmanvortex · Apr 24, 2006

They are a mid sized company, and I think they have been burned in the past.

I have been here almost 4 years. I do all of the electrical schematics, all the plc and pc programming, and all of the tech support for electronics issues.

When I started we had three people in the engineering department doing programming and tech support. For almost two years now I am the only one left in the electrical engineering dept.

cntrlfrk · Apr 24, 2006

I believe it is a fair agreement. They expect to get their moneys'-worth in a years' time, after that you are free and clear.

One of my first automation jobs required me to sign one of those agreements, they were a representative of a worldwide automation supplier and I had to go through about $30,000US training to become 'certified', I had forgotten about this being in the pile of papers I signed when I started, and when my wife was transferred by her employer two states away and I put my notice in, they promptly reminded me. Luckily, I was on good terms with everyone and they saw it as being 'between a rock and a hard place' and waived the policy, following which I breathed a huge sigh of relief.

However, the training I did recieve has helped me get each job I've had since.

Pierre · Apr 24, 2006

Negociate. NEVER say NO!

If you unilaterally quit on them you should morally be oblige to pay back what they have invested. And you should be hanged by the nuts and thrown tomatoes, be covered by tar and feathers and ... what else could we thinck of?

Negociate.

jthomes · Apr 24, 2006

One thing you need to remember is that policies change. Just because you do not sign the agreement doesn't mean they can't go after you for the money. My current job had me do the same thing when I started. They had been burned a few times. Now I don't really like it here, but am still stuck for a few more months. However, if you have worked there for a few years already and like your job, I wouldn't see why you wouldn't sign. If you make a big stink about this, it could endanger your job. You may be labeled as "not a team player" by management. This could hurt you in the long run. Point is, if you plan on staying there for a while, signing may not be a bad thing. If you are looking for a different job, try to add in you are bound by this contract and if they want you bad enough, they may foot the bill to get you. That has ben my plan so far.

Steve Bailey · Apr 24, 2006

Indentured servitude has a long and ignoble history. It's in the same personnel manual that includes such perks as company-supplied housing and the company store.

When the company sends you to the training, you become more valuable to them. The downside to that is you become more valuable in the eyes of other potential employers. They seem to be saying that their investment in sending you to be trained will have a one year payback. What happens at the end of a year? Will you get a raise in pay to reflect your increased value? At the very least, if you have to promise not to change jobs for a year, they should promise to keep you on the payroll for that year.

If they have been burned in the past by training people only to have those people move on to better opportunities, then maybe they should be reviewing their personnel policies that contribute to the turnover.

cjh · Apr 24, 2006

If it was stated clearly up front when you took the job, I would sign the contract (only, of course, if you are planning to hang around for the year).
If it wasn't stated up front, I wouldn't sign it. I consider training a benefit, just like insurance. Actually, the company has more to gain from training you than they would paying your health insurance.

zmanvortex · Apr 24, 2006

If you are looking for a different job, try to add in you are bound by this contract and if they want you bad enough, they may foot the bill to get you. That has ben my plan so far

The pay is not that good here and that is why I am always going to keep my options open.

I am not actively looking for a job, but if an opportunity presents itself I do not want to be bound by this agreement.

The above quote is excactly how I feel. There would not even be an issue if I felt I was being paid fairly (but who thinks they are getting paid fairly).

Pierre · Apr 24, 2006

Steve Bailey said:
Indentured servitude has a long and ignoble history...

Indentured: From the french endenter which means to removed the teeth.

Wow, this site is teaching me a lot of nice words nowadays. Wasn't there a thread about the bad english writing no long ago?

jthomes · Apr 24, 2006

zmanvortex said:
The pay is not that good here and that is why I am always going to keep my options open.

I am not actively looking for a job, but if an opportunity presents itself I do not want to be bound by this agreement.

The above quote is excactly how I feel. There would not even be an issue if I felt I was being paid fairly (but who thinks they are getting paid fairly).

That is exactly the reason I started to look again. I was promised the world, and got the latrine. The only thing I have going so far is that they sent me the agreement inthe mail a week after I took the training. I didn't sign it(oops), and I have never been asked about it. What they do to us here is keep our last paycheck and we are responsible for whatever is leftover. I do have a few aces hidden up my sleeve, just in case things get nasty. But, all this is moot unless I find someone to hire me.
I would look at the cost of the training. If it's only a few thousand, you can always ask for a signing bonus from somewhere else. It doesn't hurt to ask, right. The training is going to be valuable either way. They can take the money, but not the knowledge.

zmanvortex · Apr 24, 2006

The training for the Autocad Electrical is around $1500.00. It is not going to break the company if I quit and they have to eat the training cost.

It would however break me if I had to pay that amount back to a company which was already underpaying their employees.

Steve Bailey · Apr 24, 2006

For those people who claim that unions have outlived their usefulness, I submit no union negotiator would ever agree to a policy that requires an employee to reimburse the company for training if they quit. Neither could a company get away with holding back a paycheck.

Don't get me wrong. Unions are fully capable of making ridiculous demands and they can make it far too difficult to get rid of or even discipline a non-performing employee, but on balance, I feel a lot more comfortable having them around than I would if they were to disappear.

jstolaruk · Apr 24, 2006

zmanvortex said:
The training for the Autocad Electrical is around $1500.00. It is not going to break the company if I quit and they have to eat the training cost.

It would however break me if I had to pay that amount back to a company which was already underpaying their employees.

What your employer is asking for is not at all unusual. However, if you do get an offer from a new employer and you want to make the move, ask the new employer to make it a condition of employment that they cover the cost of the training reimbursment. Its not unlike a signing bonus or reimbursemnt for moving expenses.

Software Training reimbursement

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