Pay Thousands to Quit Your Job? Some Employers Say So.
www.nytimes.com
Some U.S. businesses are forcing workers to sign contracts that demand steep “reimbursements” if they leave.
  • Introversion@kbin.social
    51·
    7 months ago

    The use of stay-or-pay clauses has grown rapidly over the past decade, and it has seemingly exploded since the start of the pandemic, as companies try to retain workers in a tight labor market.

    Or they could, you know, treat employees well so they don’t want to leave? Just a thought.

  • Jaysyn@kbin.social
    452·
    7 months ago

    That’s quite literally indentured servitude.

    I want a list of publicly traded companies doing this so that I can short their stocks.

  • Jo Miran
    21·
    7 months ago

    FYI for Texas residents: Texas is an “at will” state which means that your employer can fire you at any time. It also means that you can quit any time. Contracts like this are unenforceable and illegal in Texas. It is also illegal to hire somebody as a 1099 contractor and have that person fulfill a full time job. The only way that a contract like this is enforceable in Texas is via a corp-to-corp contract in which you, the contractor, start your own company and that company enters into a legally binding contract with the employer. If you choose to do that, I recommend opening a c-corp, not an LLC, specifically for that contract (assuming it’s worth it). If you decide to quit, and they decide to sue your corporation, just dissolve it and let them go fuck themselves.

    Texas has a lot of problems but it does a good job of protecting the ability to do business with minimal shenanigans.

    EDIT: The Texas Workforce Commission is nothing to fuck with.

    • bluGill@kbin.social
      8·
      7 months ago

      I’m pretty sure all states have a variation of this. However you need to go to court to enforce it and that us expensive and difficult enough even if you win such as to scare people from trying .

      • Jo Miran
        6·
        7 months ago

        Texas is pretty strict about this. You would have a difficult time even filling the suit. The most employers can do is send threatening letters from a law firm but they have no teeth.

        Source: Business owner in Texas for 25 years.

    • captainlezbian@lemmy.world
      4·
      7 months ago

      This is true in most states. Also of note this is not related to right to work which is an anti union law (I live in an at will state without right to work)

  • agent_flounder@lemmy.worldEnglish
    19·
    7 months ago

    I’m thinking, better write your state reps if this isn’t illegal in your state yet.

    PS: employers, go ahead and keep pushing us and pushing us. The more desperate people get, and the harder you put their backs to the wall, the more unions we get and the more worker protections we will restore.

    • agent_flounder@lemmy.worldEnglish
      9·
      7 months ago

      When the US doesn’t have such a huge military with all the fancy toys, petrodollar, world.reserve currency, etc. that is, when the US loses signicant power.

      • BartsBigBugBag@lemmy.tfEnglish
        112·
        7 months ago

        Can you imagine the US Post-collapse Nuremberg style trials, where the international community is finally able to address all the horrors that have been committed against them? A man can dream…

  • thanks_shakey_snake@lemmy.ca
    14·
    7 months ago

    A typical stay-or-pay clause is called a training-repayment-agreement provision (TRAP)

    NO FUCKING WAY it’s actually called a TRAP unironically. Which timeline is this I want to disembark.

  • LaunchesKayaks@lemmy.world
    6·
    7 months ago

    I almost took a job that would have had me literally sign a contract putting me into indentured servitude to the person in charge. Thank God I got the job I actually wanted before I said yes.