Company requires you pay back relocation money if you leave within 2 years

[DT4K]

I've already been told they are putting together an offer, but I don't know the number yet. Relocation assistance will be part of it, but their standard relocation contract requires you to pay all the money back if you leave the company within 2 years.
I certainly understand why the company does this, but I'm wondering if most companies do this or if it is unusual.

 

[Yossarian]

companies that suck do that. I worked for a place like that and quit after 18 months because I hated it. fortunately they prorated the moving expenses so it didn't cost me that much. see if they'll let you add the "pro-rated" part to your contract.

 

[njmodi]

Common in larger corporations. Sometimes it's 100% repayment if you leave before 1 yr is up and 50% repayment if you leave after completing 1 year (but before 2 years).

 

I don't see anything wrong with it, they don't want to just give money away in the event of a new hire not working out. Don't know if it's standard practice though.

 

[RagingBITCH]

Well, they can spend a lot of money relocating an employee, helping them find housing, etc etc. They might as well set the money on fire if you're going to quit. It makes perfect sense.

 

[Hammer]

pretty standard stuff

 

[DT4K]

Well, I don't see anything wrong with it. Like I said, I certainly understand that they don't want to spend the money only to have the employee quit soon after. But it also puts the employee in a tough spot. You spend all that relocation money to make a big move across the country, then if the job ends up sucking, you are screwed. You either have to stick it out or come up with a bunch of cash you may or may not have. It just feels like they don't trust their decisions and are more concerned about money than about the well-being of their employees.

It makes the decision of whether or not to move half way across the country based on one day of interviews really really difficult.

 

[HardcoreRobot]

my company's time limit was one year

 

[krcat1]

This is normal, but I have usually seen the time limit at one year.

 

[XMan]

18 months in my experience.

 

[PoPPeR]

he's not asking if it makes sense. He already said he understands why the companyis doing this. He's asking if this is common. You guys don't have to keep explaining why the company is doing this.

edit: not trying to be an ass, just trying to save some of you neffers some time

 

[MommysLittleMonster]

Alot of companies have policies like this. A local bank I worked for had a tuition reimbursement policy. They would pay for your education, but if you left the company within one year of those fund being dispersed back to you, you would have to pay it back.

 

[DT4K]

Thanks.

I'm just trying to decide if I want to move half way across the country for a job with this company and it's a very hard decision to make. If it was something that most companies don't do, that would make me think I want to work for a different company. But since it sounds like common practice, it shouldn't really influence me either way.

 

[dsfunk]

the question is, how much are they giving you for relocation?

 

[PCHPlayer]

Just curious, where are you moving to/from?

 

[DT4K]

Originally posted by: PCHPlayer
Just curious, where are you moving to/from?

Haven't made a decision yet, but if I say yes, Oregon to Missouri.

Originally posted by: dsfunk
the question is, how much are they giving you for relocation?

Don't know yet. The recruiter has to put the offer together and get it approved. I'm hoping to hear from her tomorrow.

 

[ribbon13]

You poor basta....

Oregon to Missouri?

What about after that? Missouri to Timbuktu? I'd never leave the ring of fire, unless it was for some damn good money so I could retire soon and move back.

 

[DT4K]

Got the offer this morning.
Said no.
Looking at the whole interview process and the offer, I would have to say that this company does indeed suck.

 

[HardcoreRobot]

Haha, I hope my friends advice helped. Good luck dude

 

[Izzo]

Yeah, the contract I just signed had that. I would pay 75% leaving within the first year, 50% second year, and 25% if i left before the the third year.

 

[alent1234]

they do this in my company

we had someone that we hired that was told he needed to work in NYC, but his house was in massachusets. He used the relocation money for 9 months of rent at a temp apartment and then quit. The deal was that he would help us with a move and then we wouldn't sue him. Otherwise we may have sued him, but not sure.

this is normal since no one wants to pay thousands of $$$ in moving expenses if you are going to quit in a few months

 

[flot]

It's pretty normal, although I think that one year might be more reasonable. Relocation can cost a company a ridiculous ($4000-20,000) amount of money. If you are REALLY worried about paying it back, you could eat it and pay your own moving costs up front...

 

[FoBoT]

it is 1 year here, yes, it is normal. you can't expect them to move people for free/not get something out of the deal

 

[jalaram]

It was one year (prorated during the year) for me.

 

[DT4K]

Originally posted by: HardcoreRobot
Haha, I hope my friends advice helped. Good luck dude

LOL. Yep. But it was a lot more than just that. The interview process, the attitude of the recruiter, etc. Everything combined made it clear that they are not a company that really gives a crap about their employees or potential employees.

They told me on Wed that they were going to put together an offer, so I stressed about it until this morning when i got the call. I told my wife that I really hoped the offer was either low enough or high enough to make my decision easy. Turns out, it was 4k less than what I'll make at my current job this year. That and the health insurance there would cost 500 a month for the same coverage that I'm paying 160 for now. When I said I couldn't take it for that amount, she just said "OK, if you change your mind, the door will be open, so let us know."