Contract about paying back fees

[Kiwingles]

What is the name of your state (only U.S. law)?
Florida

I sell auto insurance, and the company that I work for pays for all fees. Everything from the original coursework to get me licensed in my state, as well as all fees for licensing me in the states that THEY require me to be licensed in so I can do the job I was hired for.

When I first started with the company I signed a contract agreeing to pay back any pro-rated fees from the original Courses should my employment end within 12 months of that date.

Since originally signing this contract, I have been with the company 11 months. And we are now being faced with expansion, as wonderful as that is, but this is also requiring them to license us in many more states than what we were originally licensed for. The workplace is now requiring that we sign another contract, agreeing to pay back any pro-rated fees for the cost of licensing should our employment in within 12 months. A lot of us within the workplace feel this is the cost of business as it is something they require us to carry to perform our job properly.

However we are being told if we do not agree to sign we will either find ourselves without a position in the company, or moved to a position that does not require a license, meaning customer service.

I'm interested in the legal standing behind what they are doing, and what they are requesting.

 

[LdiJ]

What is the name of your state (only U.S. law)?
Florida

I sell auto insurance, and the company that I work for pays for all fees. Everything from the original coursework to get me licensed in my state, as well as all fees for licensing me in the states that THEY require me to be licensed in so I can do the job I was hired for.

When I first started with the company I signed a contract agreeing to pay back any pro-rated fees from the original Courses should my employment end within 12 months of that date.

Since originally signing this contract, I have been with the company 11 months. And we are now being faced with expansion, as wonderful as that is, but this is also requiring them to license us in many more states than what we were originally licensed for. The workplace is now requiring that we sign another contract, agreeing to pay back any pro-rated fees for the cost of licensing should our employment in within 12 months. A lot of us within the workplace feel this is the cost of business as it is something they require us to carry to perform our job properly.

However we are being told if we do not agree to sign we will either find ourselves without a position in the company, or moved to a position that does not require a license, meaning customer service.

I'm interested in the legal standing behind what they are doing, and what they are requesting.

What they are requesting is very normal in many industries. Its expensive to get licenses and certifications for employees so they want to make sure that the employees stay long enough to at least generate enough net profit to pay for the licenses and certification. You will also still have those licenses and certification that you can take with you to another job. Its also completely legal.

 

[Kiwingles]

I appreciate the response.

I feel I should elaborate as well that the most recent batch of licensing done was done without our prior consent or knowledge that we would be required to sign a contractual agreement. And was done without us being present in the room during the applications for these licenses.

 

[HRZ]

IT stinks , just think with some carefully worded contracts every 11 months you can have a payback fee hanging over your head for years on end ...but whether the stink rises to some level of legal enforceability problem requires you get some legal counsel in your state seasoned on matters of employment law.

I get the point that some firms are reluctant to make big training and license investment's in people only to have them walk out the door

Personally You might be smart to consider employment options elsewhere at end of 12th month and notmget fired before then.