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Training Payback
Training & Organizational Development
Training Payback
A forum for exchanging ideas about skills training, leadership training, management training, compliance training, e-learning, as well as organizational development and effectiveness.
Do you require your employees to pay back the cost for certain training classes if they terminate in a specified period of time? Do you treat your sales force any different than your other employees?
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Forums » Topic Forums » Training & Organizational Development » Training Payback
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Training Payback
posted at 5/14/2001 7:21 AM EDT
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Posts: 136
First: 9/14/1999 Last: 6/29/2004 |
Assuming your employment is "at will" and you do not contractually obligate your employees to stay around for a specified period after or if they complete a training program, which would have to be voluntary, then I do not know how you would do this. Your question about sales force is not clear. All employees are treated the same under general guidelines but expectations are different for each department because they do different jobs/ functions. |
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Training Payback
posted at 5/15/2001 3:13 AM EDT
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Posts: 3
First: 3/22/2001 Last: 5/15/2001 |
This is a company philosophy. In today's market, most employees see on-going investement in their education as a must-have benefit.
Does your company recognize the education these employees are gaining? Are promotional or growth opportunities available? If not, do you really want those employees to stay not because they want to, but because they are 'obligated' to? As a general rule, I recommend that training required or requested by the employer should not have a requirement of being paid back. As for the rest, you should weigh the cost of the training you are losing against the message you want to send to your employees. |
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Training Payback
posted at 5/17/2001 6:10 AM EDT
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Posts: 8
First: 4/18/2001 Last: 7/31/2001 |
My company is presently drafting an Educational Assistance Policy where we are exploring the same issue. For university diplomas or degrees we think that they should pay back the full tuition granted if they quit before providing 3 years of service after completion of their education. Must seek legal advise to ensure that you can bind them to such a contract.
excavator |
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Training Payback
posted at 5/17/2001 10:20 AM EDT
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Posts: 1
First: 5/17/2001 Last: 5/17/2001 |
If an employee receives a University Education paid for by the company, they should be required to stay a certain number of years-----otherwise, why should a company pay for someone's education only to have them leave upon graduation? The employee should be required to sigh a contract stating they will stay. It is only fair that they indeed do stay. The company has every right to sue and collect damages for a broken contract. On the other hand, if the company approaches an employee(s), and says, "We want you all to take such-and-such course so you all can perform at a higher level" (job-enhancement courses), the employee should NOT be required to reimburse the company if they leave (it was the company's idea, and the company requested them to take the course). This covers in-house training, too.
Regarding the question about treating the sales force differently; the company needs to consider the dollar amount they are expending on each salesperson in "Sales Training". It costs much more to train a salesperson than other employees---but they generate profits, so the high cost of training is justified. After a specific dollar amount (say, 2-3K), the salespeople should be required to sign a contract stating they will reimburse the company if they do not stay a certain number of years. It is not fair to the company for a salesperson to grab free training and then run to the competition. The fair thing to do is for the employee to stay a certain number of years so the company receives just compensation for the time, money and effort they have invested into the employee. |
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Training Payback
posted at 5/17/2001 1:22 PM EDT
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Posts: 136
First: 9/14/1999 Last: 6/29/2004 |
"Fair" and legally defensible are very far removed from one another. The last time I checked the world was not fair. As for sales personnel generating profits so the high cost is justified, I do hope that no secretaries, janitors, CFO's or CEO's get wind of your comment. They all beleive that they are responsible for generating profitability in one form or the other. I would agree with them or else I would say that they should not be employed and certainly not be me or any organizations that I consult with on a regular basis. |
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Training Payback
posted at 5/24/2001 5:05 AM EDT
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Posts: 26
First: 9/23/1999 Last: 1/18/2008 |
We currently have an educational reimbursement policy that requires a 12 month payback. We also require a 12 month payback for training courses but are looking to change this. We are doing research to see what other companies are doing. So far it seems (surprisingly) that many companies require payback for training courses. Thanks for your responses. |
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