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Many organizations use a repayment clause for schooling costs

Research by Motivaction, commission by Rendement Uitgeverij, shows that in certain situations 82% of organizations include a clause mandating the repayment of schooling costs (called ‘studiekostenbeding’ in Dutch) in contracts with their employees.

Duty to provide schooling

In such a clause, it is agreed that an employee must pay back any costs on schooling (i.e. training, programs, courses, etc.) if the respective employee leaves employment with an organization within a set period of time after having completed the schooling in question. However, it sometimes happens such a clause is also included for mandatory schooling, despite the fact that an employer has a duty to provide such schooling. As of August 1, 2022, a new rule will make it compulsory for organizations to cover the costs of schooling mandatory by the collective labor agreement or Dutch law. As a result, employees can no longer be made to pay back these costs, which means that you can no longer include a repayment clause for mandatory schooling.

Findings

The most interesting findings from Motivaction’s research:

  • 82% of organizations use a repayment clause for schooling costs;
  • 18% always use a repayment clause;
  • 49% only use such a clause if the costs exceed a certain amount;
  • 9% of organizations use a repayment clause only for schooling not mandatory by law or the collective labor agreement;
  • 6% only uses this clause for schooling programs lasting multiple years;
  • 10% never uses a repayment clause;
  • 8% does not know if such a clause if ever used.
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