QLD payback for training when made redundant

[Paul Jackson]

Hi All
My Daughter was employed at a new Real Estate office that had just opened as a Property manager for the rental properties managed by the company.
In the employment agreement they have a clause.
" 12.2 You will be required to attend any internal, external training program or other professional development program identified by the Directors of .........as beneficial to your role."

" 12.3 If you leave within your first six months any training or licencing costs borne by .........Realty will be deducted from your final pay."

Now i can accept the above if my daughter left the business of her own accord. But she received a email stating

" I will have to declare the position of property manager for the Qld office redundant as there are no properties to manage"

So in short, she has been made redundant, but has been told she will have to pay back the training fees ($650.00) as she is leaving before 1 year.

Is she correct in refusing the repayment?

 

[Rob Legat - SBPL]

I wouldn't be paying it. I'm going to assume that $650 is for internal training, right? That training is ultimately for the employer's benefit - they sourced it, they required it and it was a mandatory obligation on the employee. They also cannot make the deduction from her 'final pay'. That's regardless of the fact that she's not leaving - she's being made redundant. Their 'contract' is poorly drafted, specifically in saying "if you leave". Her response should be, "It's not that I'm leaving - it's that you're the ones telling me there is no position."

 

[Paul Jackson]

I wouldn't be paying it. I'm going to assume that $650 is for internal training, right? That training is ultimately for the employer's benefit - they sourced it, they required it and it was a mandatory obligation on the employee. They also cannot make the deduction from her 'final pay'. That's regardless of the fact that she's not leaving - she's being made redundant. Their 'contract' is poorly drafted, specifically in saying "if you leave". Her response should be, "It's not that I'm leaving - it's that you're the ones telling me there is no position."

Hi Rob
Thanks for your response,
a curve ball has been added to the question i raised (see above)
My daughter after being made aware of the redundancy has now secured another job and is required to take up the new position before the date of her redundancy. She starts her new job on 29th May, which means she finishes work on the 26th May, her redundancy was to take effect on the on 31 May.
Does this impact on her having to pay back the course fees?

Thanks

 

[Rob Legat - SBPL]

This generally won't make a difference, but it can depend on the terms of the employment and the particular award she comes under. It's usually considered that she is still leaving due to the redundancy, and the fact that she is being made redundant is her impetus for finding the new position. I understand the ATO, for example, still considers this type of situation to be a genuine redundancy for taxation purposes.

The employer won't need to pay the balance of the notice period for which she does not actually attend work, of course.