Giving back relocation if someone leave early? Medtronic
Hey Everyone i am a fresh graduate and got an offer from medtronic california. i was just confused about a clause in the offer letter. They are paying me $10k for the relocation but i have to return it back if i leave the company in two years. Is this common? i would love to hear if tech companies have similiar clauses or not
For most companies its 1 year
No, you get to just go ahead and keep that. 🙄
Yes it’s normal to have a time clause for sign on bonuses and relocation. Remember that most companies treat the relocation amount as “bonus” so it is taxed at 40%, so don’t splurge 100% of it on a Vegas trip (only do 60% ;)) But also on the flip side, if you get a better offer within a year from a company and you want to move - tell them you have a $10k relocation amount you will have to repay and use that as leverage to get $10k higher negotiated salary. So it would be net zero for you!
Claw back is common, two years length is not. I venture to suggest that it’s not enforceable, or at very least should be annually prorated
Thanks guys
Technically it’s hard for companies to get back the relocation bonus. They can’t take it out if your wages. If you are feeling ballsy, just leave and don’t pay it back.
Which Procore office are you in?
For us it's one year. Pay back signing bonus and relocation.
Yup, remember that being a clause but I left Microsoft at 10 months but no one asked me for it :)