, for thousands of dollars of repayment for training your company asked you to do—all in an effort to secure employee buy-in.This is the situation a , especially ones in industries with lower pay and high turnover, are finding themselves in.
of around 1,000 employees’ and managers’ opinions on the topic of training repayment showed that “over three in four employees agreed being required to pay for their training if they quit within a year of being hired would increase retention.”In July 2022, the released a report titled Trapped at Work: How Big Business Uses Student Debt to Restrict Worker Mobility detailing the issue. “These firms’ weapon of choice is ‘shadow’ student debt, or nontraditional forms of credit used to finance higher education and job training,” according to the report, leading to what they call “massive financial consequences if they exercise their right to find work elsewhere.”Many experts find the practice to be not only unethical, but potentially predatory on employees.
Marina Kats Fraigun, a Los Angeles-based lawyer and owner of Fraigun Law Group, explains that the California government, among other states, has become “somewhat critical” of these types of agreements. “These agreements make it difficult for the employee to leave the job, which interferes with their freedoms.Read more on success.com