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  • Employer Terminate Relocation Support and keeps Final Ck...

    I was forced to resign because of the my employer terminated the relocation assistance ( rent and storage =$3000). They were to continue to offer assistance until my house out of state sold. Seven months into my employement the companys HR Director wanted to capitalize on cost savings and terminated my assistance.

    After I explained this would force me to resign they withheld my final pay check.

    Can they do this?

  • #2
    Hard to say. They are probably going to claim that they made a "conditional wage payment" for relocation. When you quit, they are probably going to claim that these payments legally became "payment errors", and holding back the check in response to a "payment error" is sort of legal under federal law.

    The problem is that "conditional wage payments" are a theory not directly supported anywhere in federal law. Also, payments are mostly a function of state law (WI), who probably also does not have laws on "conditional wage payments" per se (that is the problem with theories), but WI probably does have rules related to payment of wages especially around termination time.

    - Have you signed any documents related to your relocation which supports your employer's actions? Such a document would in most states support taking the wage payment down to at least minimum wage, and if they can make the "payment error" argument work, then all the way down to zero.

    I have no idea what WI thinks about this. WI might not know what WI thinks about this. My very weak advise is to either see a local attorney or to just file a wage claim with WI-DOL. Might work. Might not. However if you signed a wage recovery agreement or some similar document, that document will make an appearance in whatever venue you approve this in.

    As you might have gathered, I do not have a very high opinion of the theory of conditional wage payments. On the other hand, if you had been working for my employer, we would have formally structured any such payments we made to you as a loan, subject to conditional forgiveness if you meet specific conditions clearly spelled out. This type of transaction is too much like Wheel of Fortune if the parties end up court.
    "Reality is that which, when you stop believing in it, doesn't go away".
    Philip K. **** (1928-1982)

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    • #3
      Beware of Employer!!!!

      I was forced resign my employment because my employer terminated the relocation assistance ( Rent and Storage = $3000 per month). The Employer were to continue to offer assistance until my house out of state sold. Seven months into my employement the company's HR Director wanted to capitalize on cost savings and terminated my assistance.

      After I explained this would force me to resign, and following my forced resignation they withheld my final pay check.

      Can they do this?

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      • #4
        Why did you post this same verbiage word for word again?
        I don't respond to Private Messages unless the moderator specifically refers you to me for that purpose. Thank you.

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