recruitment bonus

lrobb

employee hired and signed 2 year agreement. Given ten thousand dollars up front as part of the agreemnt but must pay it back if they don't stay 2 years. 10 months in the ee opts to leave. is balking at paying back the 10 thousand. new employer will pay it back for them on quarterly basis over next 12 months. Question: ee still has final check coming for about $3000.00 can we hold it as part of the 10,000.00. Fast response appreciated.

ritaanz

No.

Paul in Cannon Beach

What she said.

ritaanz

Oh my gawd! Two in a row.

Paul in Cannon Beach

I know.. I must be having an off week.

ritaanz

I'll drink to that.

Paul in Cannon Beach

Lets not let this ruin our reputation.

lnelson

No to taking full check for the pay back of $10,000 but I would have both the new employer and ex-employee sign an affidavit stating the terms of reimbursement to be made and should his employment with the new company end prior to reimbursement of the amount that both parties would be resposibile for the payment Or some clause to put it back on the ex-ee shoulders for repayment.

JMO,
Lisa

Peyton Irby MS

The employee owes you $10K. Absent a written agreement that you can recoup from any moneys owed to e'ee, it is a potentially risky proposition to hold the check. The e'ee could claim some breach thereby allowing him/her to leave without penalty. I would take the offer of quarterly reimbursement. Future agreements should have language allowing immediate recoupment from any moneys owed.
Peyton Irby
Editor, Mississippi Employment Law Letter
Watkins Ludlam Winter & Stennis, P.A.
(601) 949-4810
[email]pirby@watkinsludlam.com[/email]