Document background
The Employee Repayment Agreement is essential for organizations investing in employee development through costly training or education programs. It is commonly used in Germany where employers wish to protect their training investments while complying with strict labor law requirements. The agreement must balance the employer's interest in retaining trained employees with the employee's constitutional right to freely choose their occupation. The document specifies the training costs, binding period, repayment conditions, and calculation methods, all structured to comply with German Federal Labor Court precedents. It is particularly relevant when the training provides the employee with valuable qualifications that are transferable to other employers, and the investment exceeds routine job training costs.
