Training Costs, Deductions from Final Salary and the National Minimum Wage

Many companies will pay for staff training and require them to enter a contractual agreement, whereby the employee will repay some or all of the costs if they leave within a certain period.  Such was the case for Louise Brade, who worked at Lorne Stewart plc.  The company agreed to fund a £1,800 foundation degree starting in 2009 and she was required to sign a repayment agreement whereby these costs would be repaid on a pro rata basis if she left the company within 2 years.  She also signed a deduction agreement, authorising the company to make deductions from her final salary.