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#1 Posted : 01 August 2006 10:35:00(UTC)
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Posted By MarkJAWatkins
Hello everybody,


Here is the problem;
A member of staff recieved training from us for his job. He was an asbestos surveyor and we started his training as an analyst - so we were going to make more money out of him.


It is standard company policy that if you leave within a set time period you have to pay back a percentage of the costs - he did not sign the declaration to this (but this is irrelevant anyway if his arguement stands)


He is now leaving us and says that it is illegal to claim any monies for the course from his last pay as the course was for the company benefit.


Anybody got any experience of this? I am actually on his side not the companies!!


We are in Scotland if that makes a difference?


I know this is not a H&S question exactly but a lot of you deal with training on a regular basis.


Regards,
Mark

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#2 Posted : 01 August 2006 10:52:00(UTC)
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Posted By Paul Adams
Mark,
We use a training payback agreement with a sliding scale of return if the employer leaves within two years.
As you provided the training so the employee could complete his duties, I would suggest it's not recoverable, or you would have to resort to the courts which may not be worth the time and effort.
I am pretty sure you can't recover it without the employee's consent.
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#3 Posted : 01 August 2006 11:10:00(UTC)
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Posted By lewes
I understood it that you cant legally withdraw any money out of someone's pay packet without their written consent.

Prior to any major training we would get them to sign a loyalty agreement and again we had a sliding scale of 0 - 1 year, 100% of costs and 1 - 2 years 50% of costs. 2 + no amount payable.

If someone handed their notice in we would often invoice them on that day and always have a strict 14 day payment terms.
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#4 Posted : 01 August 2006 12:08:00(UTC)
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Posted By MarkJAWatkins
Great responses so far and more input is very much welcome.


Does anyone know or can quote any regs on this?


I really don't the gut to be £1,500 short on his last pay!


Thanks in advance. Mark
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#5 Posted : 01 August 2006 12:09:00(UTC)
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Posted By MarkJAWatkins
That was supposed to read "Don't want the guy...."
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#6 Posted : 01 August 2006 12:24:00(UTC)
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Posted By Alan Haynes
Found this on the 'tiscali.jobs' page

What deductions can my employer make from my pay?
Your employer is entitled to make deductions from wages for certain purposes and in certain circumstances. These fall into three main categories.


Deductions authorized by statute:
Income tax and national insurance contributions
Court or tribunal orders (although the latter must be agreed in advance in writing by the worker)



Deductions which can be permitted by the contract of employment:
Examples might include deductions to pay for fines for traffic offences committed when driving company vehicles, or damage to machinery caused by worker negligence. The circumstances in which deductions from wages are permitted must relate to matters arising after the worker has agreed to the deduction. Retrospective agreement would not make such deductions lawful. The employer must give the worker a written copy of that part of the contract of employment where the worker has agreed to such a deduction.

Sometimes employers will insist on written agreement before starting employment to deduct for loss of stock or money or breakages. Although this is permissible, the employer cannot deduct more than 10% of gross pay on any one day.


Deductions which can be covered by advance written agreement:
These include permission to deduct union subscriptions or payments to charity. The worker may withdraw his or her written agreement to such deductions.



It would appear from the above that if you deduct any money for fees your company could be in legal trouble
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#7 Posted : 01 August 2006 12:28:00(UTC)
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Posted By MarkJAWatkins
Alan,


this is excellent! Thanks for your help.


Regards, Mark
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#8 Posted : 01 August 2006 12:55:00(UTC)
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Posted By GJB
Here's a thought!

Is it not compulsory to provide PPE (free of charge) where necessary, to enable an employee to carry out his/her duties?

Is it also not a duty to provide training for that person to carry out the duties?

In no way am I a 'legal eagle' here, but I don't think the employer can deduct or indeed ask for any 'training monies' back. Any 'loyalty declaration' would be a gesture, I believe, than legally binding.
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#9 Posted : 01 August 2006 13:26:00(UTC)
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Posted By Bill Parkinson
There could also be an arguement that the clawback clause is an unfair condition within the contract of employment and so any move to deduct monies could be a breach of contract on the employer.

Good arguement about the legal requirement to provide training (doesn't mention about charging the individuals).
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#10 Posted : 01 August 2006 13:26:00(UTC)
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Posted By GPat
Employers can without a doubt ask for the money back IF it is written into the contract...the reason for this!!!...Why should an employer pay training fees, recuitment fees for that individual to sod off 3 months later after having £10k spent on them.

Its definately legal if its in writing
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#11 Posted : 01 August 2006 13:30:00(UTC)
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Posted By GJB
It's a harsh old world we live in GPat!

And whether we agree with it or not... It happens!

And I fear The Gods are about to pull your post..
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#12 Posted : 01 August 2006 13:30:00(UTC)
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Posted By Alan Haynes
As in this case

"It is standard company policy that if you leave within a set time period you have to pay back a percentage of the costs - he did not sign the declaration to this"

I don't see how the company can be legally entitled to reclaim the money since there doesn't appear to be a contract in place with the employee for paying it back
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#13 Posted : 01 August 2006 13:33:00(UTC)
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Posted By MarkJAWatkins
I have more to add to this on further inspection.


The contract states that the re-imbursement of course fees may be applicable to external training courses (which this is) and to be determined by the management.


The employee did not sign any specific statement to say that monies could be deducted for these courses. So basically the company cannot take the monies.


He was only notfied 2 days before hand he was going on one of the courses and he did infact fail the course. It was a 4 day course crammed into 1 day and in a subject he knew nothing about.


Any thoughts on this; if he did sign a declaration and he did fail the course, would he still have to pay up!


Regards,
Mark
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#14 Posted : 01 August 2006 13:34:00(UTC)
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Posted By GPat
They wont beable to in this case, but ultimately they can if they take the right approach
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#15 Posted : 01 August 2006 14:04:00(UTC)
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Posted By Alan Haynes
"He was only notified 2 days before hand he was going on one of the courses and he did in fact fail the course. It was a 4 day course crammed into 1 day and in a subject he knew nothing about."

Well - that was great planning wasn't it? - No wonder he's leaving
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#16 Posted : 01 August 2006 14:29:00(UTC)
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Posted By TBC
I once heard that a company can claim the costs of training employees through tax relief. Is this so?
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#17 Posted : 01 August 2006 14:38:00(UTC)
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Posted By gham
TBC

yes and in some cases you can get a grant for certain courses
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#18 Posted : 01 August 2006 14:44:00(UTC)
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Posted By GJB
You can indeed get grants! So come, on, let me do some training for you, it'll cost nothing with a grant!!

Oh no, I fear a beating arising for advertising!

I'm off to chastise myself in a private place!!
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#19 Posted : 01 August 2006 14:47:00(UTC)
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Posted By MarkJAWatkins
Alan,


Sadly, the poor planning of a lot of our courses are common place. They guy was actually helping management out by attending and he is the one that may be made to pay because of it!

Mark
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#20 Posted : 01 August 2006 14:49:00(UTC)
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Posted By gham
Mark

refer you to employment Rights Act 1996 Section 15

Enjoy

http://www.opsi.gov.uk/a...acts1996/96018--b.htm#13
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#21 Posted : 01 August 2006 14:51:00(UTC)
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Posted By MarkJAWatkins
gham,


Thanks exactly the kind of thing I am after. You are a star!!!!!!


Regards,
Mark
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#22 Posted : 01 August 2006 15:03:00(UTC)
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Posted By bec_batty
*joins queue to beat GJB.... armed with a baseball bat*
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#23 Posted : 02 August 2006 10:58:00(UTC)
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Posted By 9-Ship
As other have said - if the asbestos surveying training was given for his job, this would also cover the safety requirements to be an asbestos surveyor.

Therefore, the training was part of his employers obligations under HASWA and the costs would not be recoverable (in my humble opinion) by the employer.

As regards the training to be an analyst, if the training has not been given yet, no costs incurred, so no problem.

Even if they had been, that's a business risk of the company, if someone chooses to leave - if the training was essential to him doing his job properly.

I would say, the only training costs that would be recoverable (if all the other legal aspects are also covered) would be non-essential/non business critical training) e.g. Open University courses, management/business management training/personal development courses etc
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#24 Posted : 02 August 2006 12:32:00(UTC)
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Posted By garyh
Why would anyone think that Management training is non essential? Are Managers born with the skills required to manage? Just think of all that monet I have wasted training my Managers and Supervisors!
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#25 Posted : 02 August 2006 12:50:00(UTC)
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Posted By 9-Ship
As I said, non-essential 'nice to have management training' courses might be recoverable, other management courses might be seen as essential.

Judge each course on its merits.
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#26 Posted : 02 August 2006 14:14:00(UTC)
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Posted By GJB
Interesting thought on Management Training.

To become a Teacher, Doctor, Solicitor, Barrister, Accountant, or even a H & S advisor... You need to take qualifications.

How do people become Managers?... Normally because they are good at the job that they currently do or are 'next in line' in the office pecking order! They then get into a job... and fall flat on there face... because perhaps they haven't been trained!

So don't leave the poor managers out! Get them trained too... And just to ensure my post isn't removed 'Cos it doesn't follow the thread'... Think about training Managers in H & S too, free of charge! I am constantly amazed how many managers have not got any conception of H & S legislation!
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#27 Posted : 02 August 2006 14:20:00(UTC)
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Posted By bec_batty
GJB - If I ever need any of my Managers trained I'll send them to you! :0)
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#28 Posted : 08 August 2006 17:08:00(UTC)
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Posted By Nigel Evans
I had an employee who left after he had trained as an asbestos surveyor. I deducted all his training fees from his final salary (it was in his contract that he would repay if he left within 1 year). He took me to an employment tribunal and lost the case, plus he had to pay travel costs of over £125.

Why do people think they have the right to get something for nothing!
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#29 Posted : 13 August 2006 20:05:00(UTC)
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Posted By RA
I owned my own consultancy a few years back a while back and any course I took on or put others through was tax deductable, but not really sure about the current situation.

I do know, that there a number of would be opportunists out there, who actually seek companies to put them through courses and then off to greener pastures when training has been completed.

I guess Mark that the question you are posing relates to HR, but I find this thread highly interesting- well done mate, I have found the directors of the company I currently work, have been bitten in the past by this type of practice.

RA
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#30 Posted : 13 August 2006 22:04:00(UTC)
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Posted By MarkJAWatkins
RA & all others who have contributed to this thread.


Thanks for all your comments.


I am happy to announce that we did not take any monies from the employees last wage. We deemed that it was not in the best interests of the company to do this (it is a very small world) We decided that we could not put a price on staff morale and it would be better to take the hit on this.


I know this was not really a H&S issue but as most of the users on these forums deal with training issues that members would be better placed to answer the questions. I am glad that I have had such a response to what I thought would be a "slow" issue!


Unfortunatley, we in the asbestos industry and any other specialist industry have our members of staff poached on a regular basis. It is quite demoralising when someone that you have invested a great deal of time and effort, not to mention money, decides to up-sticks and leave. Put on the spot if any of us were offered 1,000's more per year, better car, better overall package and more scope for career progression, we would do the same.


We really wanted this guy to stay and offered him a really good package but he decided that the opportunity available with the new company was too good to turn down.


Thanks again, regards, Mark
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#31 Posted : 14 August 2006 16:23:00(UTC)
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Posted By Dave Wilson
havent really read the thread however if the training was there so that the employee could do their job and at your request then you cant recover, if it was paid to imnprove 'personal' performace and at the employee request, then probably could.

It may sound daft but you probably made more out of this guy in a couple of jobs so 'unlucky' is the word and dont get caught again. it happens quite a lot in the Asi industry!
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#32 Posted : 21 August 2006 22:22:00(UTC)
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Posted By JayJay

Hi Mark !

Ive not really read everybodys response but as i understand it Mark under section 2 HSWA 74 the employer has to provide adequate information. instruction,training and supervision to carry out his job, so if your a plant operator you need training and if that persons title is asbestos Surveyor he's got to be COMPETENT, which includes traing- so if its part of his job description how can anyone charge you for it ? As somebody mentioned it earlier PPE is to be provided free of charge if that equipment is part of the jobs risk assessment. if on the other hand he's volunteered to do the job and its not part of his original job spec then it may be different. i know i would have something to say if someone tried to charge me !!
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#33 Posted : 22 August 2006 08:59:00(UTC)
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Posted By James M
Thinking back to the good old days when men were men, in the Army we had to sign a contract for a stipulated period normally 3,6 or 9 years. If you wanted to break this contrcat and PVR you had to pay £800. This was back in the eighties.

More recently I know that helicoptor pilots have had to sign to stay for 4 years after training. However I believe that this was contested in court and the contract was declared void because of specific reasons. I believe it was that the pilot had no option but to resign as he was being harassed by his boss.

To summarise, you can make employees sign contracts but whether they stand up in court on or is a different matter.
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#34 Posted : 25 August 2006 16:58:00(UTC)
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Posted By Blue
No kiddin - am fae Scotland tae (wee joke from The Simpsons).

Company Policy is just a policy - your statement of intentions, and not the law (unless it is based around the law) and that's not the case here. If the gentleman signed the form - then the company could have produced this as a document in a tribunal hearing - most probably in The Eagle Building. Thats where this is likely to end up if they dock his final wage.

They will realise they have screwed up now though - a lesson they probably wont repeat.

Hope this helps you and your friend. Would be interested to know the outcome.

Best wishes, B
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#35 Posted : 26 August 2006 15:52:00(UTC)
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Posted By Adrian Watson
Mark,

The company has shot itself in the foot! If there is no contractual agreement, then there is nothing to enforce. If there was a verbal contract that he would repay the training, then the company will have to prove that such a contract existed.

For his part, his argument doesn't hold water but that is irrelevent.

Regards Adrian Watson
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