An employee was booked to attend a training course and was provided with adequate notice and confirmation of the course, including details of the date, time and location.The employee did not attend, and we were invoiced the cost of the course. Can we require the employee to pay back to the business the full amount of the course fee?
Requiring an employee to reimburse training course fees incurred by the employee may be in breach of the Fair Work Act 2009 (the Act).
Under section 325 of the Act, an employer must not require an employee to spend their own money or pay money to the employer if:
This applies to any of the employee’s money, not just their wages.
In the situation outlined above:
Employers should always discuss the situation with the employee to find out why the employee did not attend the training. If there is a genuine, valid reason – illness or a last-minute cancellation of childcare arrangements for the day, for example – requiring the employee to repay the lost course fees may be unlawful discrimination and would contravene section 325 of the Act. Employers can verify the reason/s given by employees by asking for satisfactory evidence of the reason/s.
If the employee does not have a valid reason for not attending the training course, it may not be unreasonable to require the employee to repay the amount of the lost fees. However, it may be difficult to enforce that repayment.
Automatically deducting the value of the lost course fees from the employee’s wages may also be a breach of the Act.Section 324 of the Act significantly limits the type of deductions an employer is permitted to make from an employee’s wages and requires the employee’s agreement.Members should call the Ai Group Workplace Advice line on 1300 55 66 77 for more information on deductions from an employee’s wages.
Employers can still address situations where an employee has failed to attend a training course without reasonable excuse.
If the employee does not have, or cannot satisfactorily verify, a valid reason for not attending the training, employers may consider disciplinary action.
Failing to attend a training course related to the employee’s work which the employer requires the employee attend is no different than the employee not showing up to work at their usual workplace on a particular day. (Note: time spent in mandatory training is considered to be work time and employees must be paid for their time in attending a work-related training course whether it falls within ordinary working hours or not. If the employee was not going to be paid for their time in attending the training course, it would be unjust to discipline the employee for not attending).
An employer may reach agreement with the employee, for the employee to repay the lost course fees. However, care needs to be taken to ensure that the employee is not placed under any unfair pressure to agree to repay the course fees (for example, presenting the repayment of the fees as a means to avoid disciplinary action).For more information about implementing an agreement with an employee to repay money, contact the Ai Group Workplace Advice Line on 1300 55 66 77.
Our workplace advisers are standing by and are ready to answer questions from members. For further advice or assistance on this topic, or any workplace relations matter, please contact us or call the Ai Group Workplace Advice Line on 1300 55 66 77.
