Resignation & New-Grad Internship Contract Question - page 2

Question, I will be turning in my two-week notice at my hospital next week. Signed a two year contract worth a total of $8000 (in their eyes, and according to contract.) I will have been there one year on 6/25. Anyone have any... Read More

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    Quote from dishes
    One thing I have always wondered about is how can these contracts be enforced legally? Have any American nurses gone to court over one of these contracts? In Canada, labour laws supercede contract laws, if a nurse broke an employment contract such as the one described by the OP, they would not be legally required to repay the employer. Employees have the legal right to quit a job and are not legally required to pay employers for the work they did at the job, so if a case like this went to court, the employer would lose.
    Here's the deal. In the US, many nurses who sign contracts receive 'sign-on bonuses,' which are basically lump sums paid in exchange for working for a certain employer for a specified amount of time.

    If a nurse in the US is receiving a $10,000 sign-on bonus in exchange for working at ABC Hospital for two years, the $10,000 is not considered payment for services that the nurse has rendered. It is considered a bonus, an extra, an enticement that must be repaid if the nurse fails to live up to his/her agreement to work at ABC Hospital for the entire two years.

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    Back in the day, we did go after the nurses who broke the 3 year contract and we always won a judgement against them. As for collecting, I have no idea how that went if they weren't just intimidated by the court into repaying. I don't know if the hospital bothered to put liens against property, etc. I wasn't privy to that information. I do know that not every hospital in our area (research triangle NC) went after collections. Our sign-on bonus was substantial, and we expected people to keep up their end of the bargain so we made examples of the few people who did not. It sounds as if you already know what you are going to do, so I'd just ask the best way to go about it.
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    I'm going to guess and say that OP did not get a sign-on bonus simply because those are so rare nowdays and almost never offered to new grads. At my local facility, they make you sign a 2 year contract for their new grad program simply to try to recoup the money that is lost whenever a new grad is trained. The local facility also has the Versant program, which I'm guessing can be pretty costly to the company as well.
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    NOt here....the ;labor laws protect those without a labor contract...and it protects against unfair labor practice. Sets behavior guidelines/rules. What the hospital says we will hire you if you promise to stay for 2 years and we are willing to pay you an additional $10,000.00.....over and beyond you hourly wage..... just because you promise to stay 2 years. However...if you decide to leave early you will, have to pay us our money back because you broke your promise to stay.....everyone agree?

    If you sign on the dotted line that you agree to those terms you are held legally to your promise/contract.....and will have to pay them back the $10,000.00.

    They aren't saying you can't leave....they are saying that if you leave before the agreement....the extra money needs to be signed and agreement that you agreed. If you break that promise it is a breech of contract........and you could be sued.
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    I can see how an employer has legal right to enforce a contract based on a recruitment and retention bonus. These type of bonuses are offered to Canadian nurses to work in the northern and remote areas, but the bonus is given in increments; at the start of employment, after 18 and 30 months, if a nurse quits early, they are not entitled to the bonus.
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    Well, I thought I would follow-up in case anyone else was wondering for the same issues with their own circumstances. First, there was not a sign-on bonus and repayment was as dogfood341 remarked about recouping cost.

    So, they did prorate my amount owed based on time there which turned out to be half.
    They did give me the choice of keeping my PTO or giving it to them, which I did, as I was already prepared for them to take that anyway so that covered half of the half.
    My Director then told me they have to, by law, give me minimum wage for the hours worked but the rest would be confiscated; which they did. That paid half of what was left.
    Lastly they stated they are willing to give me 90 days to pay the remainder.

    Needless to say, I would have preferred to finish out my contract rather than go through this but I would have quit the profession entirely so this was my only other option. I am happy to no longer be there. Hopefully this helps someone else.
    dishes likes this.

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