HRSINGAPORE Community Discussions
Reviewing Training Bond
We are thinking of reviewing our training bond structure (see table below) as anecdotal feedback from our staff suggests that the trigger amount of $5,000 for a 3 month bond is too low and the bond period is also too short to be meaningful and does not justify the administrative work needed to issue the bond.
As such, we were wondering if you could share with us what is the minimum training bond period (and the trigger amount) for your company? Would you recommend bonding staff only if training costs exceed $10,000 and a minimum bond period of 6 months?
Training costs* Bond period Proposed changes
$5,000 and below No bond
$5,001 to $10,000 3 months No bond
$10,001 to $20,000 6 months
$20,001 to $50,000 9 months No change
More than $50,000 1 year
*For overseas training, the total cost of training includes course fees, airfare, subsistence allowance and any other approved travel expenses.
Secondly, if an employee is currently serving a scholarship bond of 6 years but also signed a training bond of 1 year (while still serving the aforementioned bond), would your company practice consecutive or concurrent serving of both bonds?
Appreciate your advice and kind sharing please.
REPLIES & COMMENTS
Our company practices the following as far as training bond is concerned, however, the programme is only meant for technical certification programmes.
FEES COMPULSORY SERVICE DURATION
Up to RM5,000.00 3 years service
RM5,001.00 – RM10,000.00 5 years service
RM10,000.00 and above 10 years service
Years back, we tried to implement a year bond for our usual overseas training costing >$20k. In the end, we did not execute it. For educational assistance program (courses and dips and degrees, etc), it’s a standard one year after graduation.
We don’t have scholarship bond issuance so far.
Hope this helps.
This is from one of my ex-coy.
Course Duration - Above 6 months and/or Course Fee:-
Above $800 to $2,000 (in local currency) = 6 months
Above $2,000 to $5,000 (in local currency) = Total course duration (from start date to the date stated on the certificate)
Above $5,000 (in local currency) = Total course duration (from start date to the date stated on the certificate) plus another 6 months
Cost of the course Bond Period
Less than $2,000 1-year
$2,001 to $5,000 2 years
$5,001 to $10,000 3 years
Above $10,001 4 years
$5000 – 1 year bond
Every subsequent $2000 - +1 year