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  1. #1
    Join Date
    Apr 2012
    Location
    Oak Brook, IL
    Posts
    1

    Arrow Training Bond and Resignation Before 12 Months

    My question involves labor and employment law for the state of: NY

    My company's offer letter states that I would have to pay them fees incurred for joining/relocation if I resign before a period of 12 months.

    Since it did not state anything about training, I went ahead and joined the company.
    During the training I kept looking out for signs of bond, but since the training was in-house (no costs incurred to the company), and nothing was mentioned I was relaxed. I was only asked to sign an employment letter where it was stated that if I was not able to clear the training successfully, I would have to pay back the cost of the training. I cleared it, and didn't think about it again.

    Then the week before I had planned to put in my papers, I was called to meet the H.R where all the trainees now had to sign something called a Training bond(for a considerable amount of more than two month salary). I refused to sign the paper as the training was completed, and I was not informed before.

    But now the H.R says that the signing of the training bond is just a formality and that signing the offer letter itself states that I have agreed to this.

    Now what can I do and do I have the law with me?

  2. #2
    Join Date
    Sep 2011
    Posts
    437

    Default Re: Training Bond and Resignation Before 12 Months

    If the offer letter didn't specify anything more than "fees incurred for joining/relocating" then the company is free to include pretty much anything they wish to as those costs and try to recoup them from you. You're free to refuse; they're free to sue you for them and let a court decide whether the offer letter obligated you to pay them for unspecified expenses they incurred. I'm not an attorney but my guess is that they wouldn't get too far with this.

    But now the H.R says that the signing of the training bond is just a formality and that signing the offer letter itself states that I have agreed to this.

    In theory, yes. Practically speaking, very likely not unless they specified exactly what expenses they were talking about (such as repayment of a relocation bonus.)

    You may want to consult with a local attorney, show him/her a copy of the offer letter and get an expert opinion on whether the employer can legitimately hold you accountable for these undefined costs.

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