Educational Assistance

[bex2408]

What is the name of your state? MD

The company I currently work for sent me to two training courses at the end of February so that I could design a web page for our department. The page is currently up and running.

I just got a new job (yay!) and when I turned my two weeks notice in to my manager, she said that I now have to pay the company back the money that they paid to send me to the classes.

I need to know if legally, I'm bound to pay them.

More Info: When I started here two years ago, I signed a document that said I read and agreed to the terms of the employee handbook, in which there is an educational assistance clause. It stated that the company would contribute up to $2,000 a year towards your continuing education and if you left before a year, you agree to repay them 100% of the cost.

Somewhere between then and when I took the classes, the policy changed to say that for every $1,000 that they contribute to your education, you must stay for 3 months or pay back a portion of the assistance.

The company has procedures for applying for educational assistance where you are required to sign a document agreeing to re-pay if you should leave. Then, it has to be approved by the department head and by an executive committee. I never saw or signed a document applying for educational assistance, I just went to my manager, told her about the classes and she said she'd take care of it.

I don't feel that these classes constitute educational assistance because they weren't taken for personal improvement, they were taken so that I could do my job. As a side note, web page design is not part of my original job description.

Am I legally bound by the agreement I signed relating to the original policy? Is there any way for me to get out of paying back this money?

I'd really appreciate any help or suggestions you can give... thank you so much!!

 

[mlane58]

What is the name of your state? MD

The company I currently work for sent me to two training courses at the end of February so that I could design a web page for our department. The page is currently up and running.

I just got a new job (yay!) and when I turned my two weeks notice in to my manager, she said that I now have to pay the company back the money that they paid to send me to the classes.

I need to know if legally, I'm bound to pay them.

More Info: When I started here two years ago, I signed a document that said I read and agreed to the terms of the employee handbook, in which there is an educational assistance clause. It stated that the company would contribute up to $2,000 a year towards your continuing education and if you left before a year, you agree to repay them 100% of the cost.

Somewhere between then and when I took the classes, the policy changed to say that for every $1,000 that they contribute to your education, you must stay for 3 months or pay back a portion of the assistance.

The company has procedures for applying for educational assistance where you are required to sign a document agreeing to re-pay if you should leave. Then, it has to be approved by the department head and by an executive committee. I never saw or signed a document applying for educational assistance, I just went to my manager, told her about the classes and she said she'd take care of it.

I don't feel that these classes constitute educational assistance because they weren't taken for personal improvement, they were taken so that I could do my job. As a side note, web page design is not part of my original job description.

Am I legally bound by the agreement I signed relating to the original policy? Is there any way for me to get out of paying back this money?

I'd really appreciate any help or suggestions you can give... thank you so much!!

No one can answer as we haven't read the document you describe. You need to consult with a local attorney versed in contract law and/or employment law.

 

[bex2408]

The original documents...

The original document I signed says:

I have recieved a copy of the (Company Name) Employee Handbook, have reviewed it and had the opportunity to ask my supervisor questions about it. I understand the policies described in the Handbook and agree to abide by them.

I understand that this Handbook does not represent a contract of employment, express or implied, nor an offer to enter into a contract. I understand that this Handbook instead serves as a guide and aid to better understand of (Company Name)'s policies, practices, and benefits. I understand that nothing in this Handbook should be construed as to create a (Company Name) obligation or an employee's right to employment and that my employment is terminable "at will," meaning that I am free to resign at any time just as (Company Name) may terminatemy employment at any time and for any reason not prohibited by law, with or without cause or notice.

Further, I understand that although it is (Company Name)'s intent to continue the practices, policies, and benefits outlined in this Handbook, (Company Name) reserves the right, whether in an individual case or more generally, to alter, reduce, or eliminate any pay practice, policy or benefit, in whole or in part, with or without cause or notice. Moreover, personnel actions taken or decisions made will not necessarily be reversed or mofidied if these policies or procedures are not followed.

The Educational Assistance policy outlined in the Handbook says:

It is (Company Name)’s policy to encourage regular full-time and regular part-time employees to participate in courses of instruction directly related to the employee’s current and projected responsibilities and assignments. A “Request for Educational Assistance” form must be completed and submitted to Human Resources in advance for all education/training requests (forms are available in the Human Resources Office) seeking payment for eligible tuition, laboratory, registration, books, software, travel and related expenses and other fees. (Company Name) may approve such requests, up to a maximum of $2,000 per calendar year per person, for undergraduate study, continuing education courses, seminars, conferences and certifications, and up to maximum of $4,000 per person per calendar year for graduate study. Requests to exceed the maximum limits must be justified in writing and will be considered on a case by case basis. Proof of satisfactory completion of all courses must be submitted to Human Resources.

(Company Name), in its sole discretion, will determine whether expenses are eligible for reimbursement and whether to approve requests submitted by employees. Approval will be based, in part, upon the subject matter’s relationship to the employee’s current or projected responsibilities and assignments, and is subject to a department’s annual budget established for professional development.

For every $1,000 paid toward this benefit, the employee must agree to remain in the employ of (Company Name) for a period of three months after the completion of the course(s) or reimburse (Company Name) for all costs.

Educational assistance benefits may be taxable and, if so, will be included with wages, tips and other compensation shown in Box 1 of Form W-2.

Please advise... thanks!

 

[ecmst12]

If your company directed you to take the classes, scheduled them for you, and paid you to attend them, as well as paying for the classes (rather than reimbursing you), then it doesn't sound like that would constitute "educational assistance".

 

[pattytx]

Nope, that's not "educational assistance" at least under IRS regulations. That's job-related training.