Training repayment agreement provisions (TRAPs),are a new form of “stay-or-pay” contract that indebts employees to their bosses. Often inserted into contracts without workers’ knowledge, these restrictive labor covenants turn employer-sponsored job training and education programs into conditional loans that must be paid back — sometimes at a premium — if employees leave before a set date.

Employers argue that these clauses are a way to recoup their investment in employees who decide to leave the company prematurely. But these contracts have come under fire from labor groups and regulators. Oftentimes, the amount of debt demanded under TRAP contracts — which can be upward of $50,000 — is far higher than the employer’s training costs.

SLAVERY, WITH EXTRA STEPS.

  • oatscoop@midwest.social
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    4 months ago

    They include those terms in the papers they have workers sign when they’re hired or before they they train them. I.e. “You have to pay us regardless of if you quit or are terminated.”