Although the “Employee” understands that International Communication Solutions would not provide such training unless the “Employee” intends to remain an employee of International Communication Solutions and agrees that he will reimburse all training costs incurred by the Company if the “Employee” terminates the employment relationship before the end of the 2 years following the end of the Training. You may have an ambitious employee with exceptional talent who asks you to fund all or part of an expensive educational program such as an MBA or graduate certificate. It`s great and you may want to support it, but somehow you also need to protect the interests of your business. The introduction of such an agreement ensures that the employee agrees to stay in your company for a predetermined period of time after the completion of the training and must reimburse part of the training costs if he leaves earlier. However, in some situations, small businesses also need to protect the investments they make in their employees. L&D doesn`t always cost the world much, but some courses or professional qualifications can be very expensive – if an employee leaves your company shortly after completing training that your company has paid for, it could seriously leave you out. Of course, providing a staggered reimbursement fee is not enough to motivate an employee to stay. High-potential employees are attracted to companies that have a strong career development program, challenging tasks, and effective performance reviews. They feed on feedback and are constantly looking for new challenges.

To help you do this, read our performance reviews and training and development kits. In a training reimbursement agreement, all parties involved agree in writing to the full approved budget for the course and the name of the approved course. To encourage employees to stay in the company, reimbursement fees are usually on a sliding scale. The reimbursement fee therefore decreases the longer an employee stays in the company after completing the course. There are placeholders in the agreement that require important information to be entered, including the name of the person overseeing the refunds, the minimum grade required to continue paying the course fee, and the duration of the course. If a training agreement has the practical effect of “catching” an employee in their current role, it may be unenforceable. But especially for employers, it can also be used to determine when an employee might be responsible for reimbursing these training costs and how that reimbursement would work. In particular, it can define whether these costs become reimbursable if an employee leaves the company shortly after completing the training. Whereas International Communication Solutions provides such training to “employees” in the hope that the “employee” will continue to be an employee of the Organization for at least (2) years, so that he or she will benefit from the investment in employee training; Properly concluded, training agreements are a completely legal and appropriate way for companies to protect themselves financially. However, if you decide to create one, there are a few things you should pay attention to. Here too, it is first and foremost important to find the right wording of the training agreement. The training agreement template we provided above will do the job in most cases, but sometimes you`ll need more specialized support.

If you need help creating a training contract, contact us to learn more about our recruitment consulting firm. If you are looking for a training agreement template to use in your small business, simply click on this link. This template was designed by our professional and qualified CIPD HR consultants who specialize in HR support for small businesses and startups. Then, the company must define the reimbursement plan for its employees based on when they leave the organization, from the moment the training is completed. This is where a training reimbursement agreement comes into play – it`s a way for companies to ensure they don`t suffer any financial loss when paying for the development of their employees. A training contract is a written agreement between an employer and his employee that sets out the terms of each training for which the company pays them. It determines the cost of the training, who provides the training and who is primarily responsible for it. Before sending their team for training, many companies ask their employees to sign a training agreement that requires them to repay any investment in their education if they leave before a certain time. Have you been approached by a high-potential employee to fund an educational program that exceeds the training budget? Would the knowledge gained benefit current and future business projects? What are you doing? The purpose of training agreements is to protect companies from losses when they invest in their team. This is not intended to be a tactic to prevent people from stopping. For this reason, the amount of money that the training contract is intended to recover must be a reasonable estimate of the money the company has lost. This employee training reimbursement agreement is entered into by and between International Communication Solutions and (employee name).

Conditions that the agreement covers or can be applied Declaration between employer and employee – This includes at least one sentence indicating that the employee and his employer have entered into an agreement. .