Up-skilling Employees and Recouping Training Costs

The HR Team is carrying out a contract review. Having been informed by Management that up-skilling employees is going to be one of the main areas of focus over the next couple of years, the HR team requires advice on recouping training costs. What are the considerations when drafting this type of clause?

Carson McDowell writes:

The HR Team is right to think about this issue when drafting the contracts of employment as any effort to recover monies for training when there is no contractual right to do so will fail. In fact, even if there is a clause in the contract of employment stating that training costs can be recouped, the clause may still be void for being a penalty clause or a restraint