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Repayment of Bonus

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alfie9999

Junior Member
I work and live in California. I was paid a bonus upon being hired by a State managed Federal facility. The bonus was given to me because they (the State/federal facility) wanted me to leave my previous employer before I had finished a year term there, thus requiring that I repay that previous employer my relocation expenses that that employer had given me. This month I was laid-off from my last employer (The State/Federal facility) due to Federal budget cuts. They (the State/Federal facility) are now asking me to return that bonus because I was terminated before a full year of employment(I was only shy by few weeks). I reread my contract and it states "...in the event YOU terminate from the....(name of the State/federal Facility)...FOR ANY REASON, before the end of the year, you will be required to reapy the full gross amount of the bonus within 60 days...". I interpret this YOU to mean if I (myself, on my own volition) chose to leave and NOT if I get laid-off by the State/Federal Facility? Is this correct?. How do I fight this ridiculous claim. I was not given this money to spend, it was given to repay my previous employer to get to the State/Federal facility early, upon their request and not mine. This is totally absurd!! Please advise.
 
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pattytx

Senior Member
I interpret this YOU to mean if I (myself, on my own volition) chose to leave and NOT if I get laid-off by the State/Federal Facility? Is this correct?.
You're trying to read to much into this wording. A termination is any separation from the employer for any reason, no matter who initiates the separation. I have written these and had to sign them myself. If they meant it the way you are interpreting it, it would (or should) have said something like "if you voluntarily terminate your employment" or "if you resign" or even "if you are discharged due to gross misconduct" (in effect, causing them to fire you based on something really bad that you did).

Having said that, it is unusual (but not unheard of) in my experience to require the employee to return a sign-on bonus if the employee is laid off. You may find an attorney who interprets it the same way you have, but if they are well-versed in employment law, I doubt it.

The fact that you were given the amount for a specific reason is not relevant. Theoretically, you could have spent it and not paid your apparent obligation to your previous employer with those exact funds.

I'm sorry, but from what you have posted, I don't see that you have a leg to stand on.
 

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