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Ben Jones
Ben Jones, UK Lawyer
Category: Law
Satisfied Customers: 44962
Experience:  Qualified Solicitor - Please start your question with 'For Ben Jones'
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Hallo, Iam a recent graduate and I was recently offered a

Customer Question

Hallo, Iam a recent graduate and I was recently offered a contract from a company. I have 7 days to decide and sign the contract. The job starts at 5th of September and my contract does not say anything about restrictive terms for rejecting the initial contact. Although I want to work for this company, I am worried what will happen if later (it is about 6 moths period)  I want to reject the contact? The only thing that the contract states is in the chapter of "Settling in Allowance (it is something like a welcome bonus)" which is  presented below: "Should you leave the company within one year of joining, you will be required to repay the settling in allowance in full. We reserve the right to withhold such monies as may be due in this connection from any final salary or other payment due to you. If the total amount exceeds the final salary payment then you will be expected to repay the excess over a period of time to be determined by us."


Moreover there is a chapters which states the following: "Your entitlement to receive or give notice of termination of your employment is as follows: Before the end of the 5th year of continuous employment - 1 month."


But it does not say anything if I reject the contract before the start of my job.


What is the usual repsonse of the firm to a situation like this?


What legal responsibilities may I face? Thank you in advance

Submitted: 3 years ago.
Category: Law
Expert:  Ben Jones replied 3 years ago.
Hello, my name is XXXXX XXXXX it is my pleasure to be able to assist with your question today. Please let me know if you are expecting any payments before the start of the job?
Customer: replied 3 years ago.

Hello,


No Iam not expecting any payments before the start of this Job.

Expert:  Ben Jones replied 3 years ago.
Ok the repayment clause is not really relevant here.

the notice period clause will also usually only apply once your employment has started. So you would generally be able to reject the contract beforeit has commenced, even with minimum notice. How the company deals with this will depend on how soon before you are due to start you cancel. With sufficient notice, say a month, they will probably do nothing. If you cancel a few days before you are due to start they will be understandably annoyed and could seek compensation for losses incurred which could be costs with getting a replacement at short notice because after all you did have a binding contract. With them where you had agreed to start. So the more time you give them the better
Customer: replied 3 years ago.

Quite reasonable I would say. In similar cases what's the common reaction of a company (big firms).


Moreover, since my contract has no other restrictive covenants If I start the job and Iam dissatisfied, I am able to resign with 1 month notice.


 


Thank you

Expert:  Ben Jones replied 3 years ago.
Most would drop it and would not pursue it. You are indeed able to resign by giving the required months notice at any time
Ben Jones, UK Lawyer
Category: Law
Satisfied Customers: 44962
Experience: Qualified Solicitor - Please start your question with 'For Ben Jones'
Ben Jones and other Law Specialists are ready to help you
Customer: replied 3 years ago.

The contract states a paragraph which is about the settling allowance (it is typically a bonus for entering a company). It states the following


 


"Should you accept this appointment, you will be paid a taxable settling in allowance of £4,000 with your first salary payment. Should you leave the company within one year of joining, you will be required to repay the settling in allowance in full. We reserve the right to withhold such monies as may be due in this connection from any final salary or other payment due to you. If the total amount exceeds the final salary payment then you will be expected to repay the excess over a period of time to be determined by us."


 


I cannot understand what exactly says, can you help me?

Expert:  Ben Jones replied 3 years ago.
in your first pay you will be paid this amount to help you with living/travel costs for taking this job. If you decide to leave within 1 year of starting you will have to repay that amount. They could automatically take that money from your salary if they want to, before you leave with any balance repayable by you directly to them. None of this should not be relevant if you do not actually start the job as the payment is not made until your first pay packet

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