Payback Agreement

Payback Agreement

An agreement between an employer and an employee used primarily for relocated employees, stating that an employee will not voluntarily terminate his or her employment with the organization for a specified duration of time, effective from the date of relocation. Failure to abide by the terms of the agreement results in the employee being responsible for paying back a portion of any and all costs incurred by the employer on the employee’s behalf. Also used by employers that pay for expensive job-related or professional development training or educational courses.

Source: Society for Human Resource Management