Our rules allow students to follow up to three months during a three-year training contract without having to suspend the agreement. However, if the student takes more than three months during this period, the training contract should be suspended on that date. However, if the training costs were paid in part by the apprenticeship tax and partly on own resources, it may be possible to recover the training costs paid by your resources, although it is difficult for you to separate those funds. Even if you have included a clause or agreement in the employment contract, its mere existence does not automatically mean that you can recover the costs. It will depend entirely on the wording of the clause or agreement and the date the recovery agreement was concluded. The reimbursement of training costs once again made headlines. Last year, Capita and FDM Group accused employees of leaving their training services at $20,000. Capita acknowledged that his practice was illegal. This year, a Costa coffee franchise was made by Goldex Investments Essex, who were accused of making unfair deductions from former employees. In some cases, employers try to recover the cost of „workplace“ training, which is much more difficult for them to quantify. It has been reported that some large companies, such as Capita and FDM, bring some employees through training programs that cost very little, but the company requires people to leave their jobs after the end of the course to pay back much larger sums, allegedly up to $18,500.
On the face of it, it would be a punitive clause and also a commercial restriction and therefore illegal and unenforceable. We understand that there is a legal challenge to these types of clauses. If an employee leaves office with immediate effect on the basis of an offence against you, you cannot deduct the cost of training from the salary due to them, as he declares the contract null and void and not entitled. If a worker voluntarily resigns and executes his notice or commits a fault resulting in a deduction of wages for the reimbursement of training expenses, you can make this deduction regardless of the impact on the NMN. If you are interested in this option, the qualified person in charge of the training (QPRT) must confirm that your students will take more than 35 hours during their four-day week. The short answer is yes. However, in practice, this is not that simple and training fee deductions can only be made if certain criteria are met. First, if the employer were to have the worker`s prior consent, if it were to be deducted from his salary, it could lead to this being considered an illegitimate deduction. Second, any amount deducted should be fair and reasonable and reflect the value you acquired as an employer from the worker who is taking the training. Finally, the employer should take all reasonable steps to mitigate any losses, which should be reflected in the amount deducted from the worker. Depending on how the employee leaves the company, if a deduction is made for the reimbursement of training costs, it may ultimately be paid below the national minimum wage (NMW).
A non-payment of the NMW may result in a right to an illegal wage deduction as well as an investigation and application by the HMRC. If you need help with training costs, please contact a team member. Students will be able to continue to study and take exams without a training agreement, and they will continue to have access to a wide range of resources and services to help them study.