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Relocation Repayment Obligations When Resigning on My One Year Anniversary

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  • 07-01-2014, 02:46 PM
    HRprof
    Relocation Repayment Obligations When Resigning on My One Year Anniversary
    My question involves labor and employment law for the state of: TX

    I moved from PA to Austin last June. I signed a relo agreement stating I would repay the amount given ($25000) in full of I did not work 12 months from commencement of start date. I started June 25, 2013 and submitted my resignation June 25, 2014 with a written letter and verbal agreement from head of hr that my last official day would be July 8, 2014. I was just sent a letter stating that the company would deduct the relo repayment amount from my next 2 checks and I owed in excess of $18000. However, no mention of the exact wording of the relo agreement was stated. I reread my agreement and as I read it I quit 12 months + 1 day after I was hired so no repayment should be requested. I did agree that they could deduct payment if i was at fault, however i do not believe i am. Also, is this employer in violation of the TX payday rule. Any help or thoughts are appreciated. Thanks!
  • 07-01-2014, 03:09 PM
    brownj12
    Re: Resigned on One Year Anniversary with a 12 Month Relo Agreement
    We cannot see the relocation agreement, we don't know what if anything you are supposed to pay. Since you are still employed, and have discussed your leaving with HR, what happened when you took the letter you received, and a copy of the relocation agreement to your HR rep and expressed your concern, and your interpretation of the agreement?
  • 07-01-2014, 03:15 PM
    HRprof
    Re: Resigned on One Year Anniversary with a 12 Month Relo Agreement
    Currently the head of HR is avoiding my calls and emails. The agreement stated if I left before the 12 month period ended I would need to repay the entire amount -- this I understand. However, I resigned on my 1 year anniversary with an end date of July 8. I do not think I owe repayment and since I cannot get the HR Director to respond I am not sure how to proceed. Also, my company politely requested everyone to take vacation this week -- which may be the reason no one is responding, however the letter was sent Monday via work email. And my attempts to review are through work channels as well. I have a payday this week which I was told I would not receive due to repayment.
  • 07-01-2014, 05:49 PM
    cbg
    Re: Resigned on One Year Anniversary with a 12 Month Relo Agreement
    When you showed the relo agreement to an attorney in your state and asked for an interpretation, what did he say?
  • 07-01-2014, 05:58 PM
    jk
    Re: Resigned on One Year Anniversary with a 12 Month Relo Agreement
    Quote:

    Quoting HRprof
    View Post
    I have a payday this week which I was told I would not receive due to repayment.

    well, given this statement:


    Quote:

    I did agree that they could deduct payment if i was at fault, however i do not believe i am.
    apparently they believe you are liable and since you agreed to the deduction, they are taking it.
  • 07-01-2014, 06:25 PM
    HRprof
    Re: Resigned on One Year Anniversary with a 12 Month Relo Agreement
    Yes, I understand that JK, what is my recourse as they obviously read a different agreement then me. Also, even though I salaried, I believe I should still receive compensation for time worked at a minimum wage amount per TX law. And since I am trying to contact the HR dept. to discuss. Isn't this an issue?
  • 07-01-2014, 06:33 PM
    cbg
    Re: Resigned on One Year Anniversary with a 12 Month Relo Agreement
    Salaried is only a pay method and has no legal standing of its own. What matters is if you are salaried exempt or salaried non-exempt. That is determined now by how you are paid but by your job duties. Which were you?
  • 07-01-2014, 08:59 PM
    jk
    Re: Resigned on One Year Anniversary with a 12 Month Relo Agreement
    Quote:

    Quoting HRprof
    View Post
    Yes, I understand that JK, what is my recourse as they obviously read a different agreement then me. Also, even though I salaried, I believe I should still receive compensation for time worked at a minimum wage amount per TX law. And since I am trying to contact the HR dept. to discuss. Isn't this an issue?


    you can agree to allow them to take any or all of your paycheck for whatever deduction. It appears you agreed to allow them to take any or all of your pay to reclaim the transfer money, of course, if they believed you owed the money. Maybe you shouldn't have agreed to them docking your paycheck if they believed you owed the money.
  • 07-02-2014, 10:13 AM
    brownj12
    Re: Resigned on One Year Anniversary with a 12 Month Relo Agreement
    Quote:

    Quoting HRprof
    View Post
    Currently the head of HR is avoiding my calls and emails. The agreement stated if I left before the 12 month period ended I would need to repay the entire amount -- this I understand. However, I resigned on my 1 year anniversary with an end date of July 8. I do not think I owe repayment and since I cannot get the HR Director to respond I am not sure how to proceed. Also, my company politely requested everyone to take vacation this week -- which may be the reason no one is responding, however the letter was sent Monday via work email. And my attempts to review are through work channels as well. I have a payday this week which I was told I would not receive due to repayment.

    If they are on vacation then that is certainly a reason not to respond.

    Do you work in the same building as the HR Director? Is it possible for you to just walk into their office on Monday?

    If your interpretation of the agreement is correct then this may very well all be in error. If you cannot get in touch with anyone in HR then there is a good chance your pay will be docked this week as they stated. If you prove the misunderstanding is on their end then the pay should be returned to you.

    Are you 100% sure on your start date? 6/25/2013 was a Tuesday, not that you can't start on a Tuesday, it is just unusual. Was the start date noted on the document? Also keep in mind that the start date is the first date worked, not necessarily the date paperwork was signed. Do you have a copy of the agreement? Can you post it with sensitive/identifying information redacted?
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