Can they not pay me at all for the next 4 weeks?

[Spaceunicorn6789]

Name changed but regular lurker and occasional poster.

Long story short, my company paid for some training which I am due to complete in September. I signed an agreement confirming that I would pay back these costs if I left before completion or within a year of.

Today I handed in my notice and stated I fully accept that I owe this money and happy to come to a mutual agreement to pay this off as soon as possible.

They have come back and said that they will claim the money back by making me work my notice period, but not paying me for the whole of February or the 3 weeks of March up until my official termination date.

Can they do this?????!!!! I will have no way to pay my bills and this will put me into significant financial difficulty although we will manage to scrape by with savings and DP paying more than his share.

I can't see how this can be reasonable.

To reiterate, I'm not denying I need to pay it back but this way seems so unfair.

^if they really want you I meant to say

There is a lot of guidance on this online.

www.gov.uk/understanding-your-pay/deductions-from-your-pay

You really need to consider the exact wording of the agreement you signed regarding repayment of the costs.

Would you consider applying for a 0% credit card and paying the company in one sum from that? So that you can pay it back to the card over 6-9 months? Alternatively, a low interest personal loan from your bank?
You'd still pay it, but not be in financial hardship for the few months. I appreciate that this depends on your credit rating though.

Thank you for all your advice everyone!

Full disclosure - I was super emotional when all this went down and after I had slept on it I realised that what I was actually upset about was how it all happened.

I've worked there for quite a while, literally given blood, sweat and tears. Always performed well, had great appraisals and promotions and believed that I was valued by the higher ups.

So, I knew a conversation was going to have to happen regarding a way forward for this, and that a payment plan may well not have been agreeable and I potentially would have needed to get a small loan to pay it off. But what I expected to happen was a sit down, we are sorry you are leaving, what has made you decide to leave, could we convince you to stay? No okay then we need to talk about the money for your training. And that would have been fine.

But what actually happened was, I handed my notice in, my actual line manager was upset and was thankful for all I had done, would be difficult to find someone to replace me and would speak with me in the afternoon once she had spoken with other senior managers. I came back from lunch to a letter on my desk saying, basically, no pay for you ever again.

So, I was upset about that and felt totally unappreciated and under valued.

Now I'm thinking more rationally I have agreed to pay them the money bank of mum saves the day however deduct the pay I am due for hours worked up until Monday and agree in writing that no further action will be taken for not completing my notice period. This way I can start my new job early and start earning again.

Really pleased it’s all resolved OP. As you say, the “how” could have been handled a whole lot better and you could have left feeling valued and positive. Unfortunately some places take anyone leaving really personally I find.

PS God bless the bank of mum

If paying back the training costs would put your take home at less than minimum wage then they haven't got a leg to stand on.

Curiousmum that isn't born out by the information in the link you gave, which says that the employer can deduct from wages if there is an agreement in place, and that if the would cause financial hardship the employee can ask for a payment plan.

OP if you don't go back and work your notice they won't owe you pay for your notice period, and you'll still owe them money for your training. Granted they'd have to pursue you for it as there would be nothing to deduct it from, but this would affect your reference and your credit rating. I don't understand why you wouldn't have checked all this thoroughly before deciding to resign at this point if you have responsibilities.

Is isn't correct that they can't take you below minimum wage if the reason for termination of employment is resignation. Providing the agreement is worded correctly.

@Spaceunicorn6789 sounds like a good outcome. Good luck in your new job

Sorry, I haven't read the entire thread so I may be repeating what's already been said. I have recently had to draw up similar contracts for some of my employees, my research told me that I had to explicitly state that the money owed would be taken from their wages, otherwise it would count as unlawful deduction of wages.
Hope that's of some help.

It's a small company so highly unlikely to sue for breach of contract.

Given they would be able to make a case that they were out of pocket if you simply didn’t go back, I wouldn’t be so sure...