Is this considered PFT?

[HU-16]

I'm just curious if this situation is considered PFT. A friend of mine (1000+ CFI) got hired by a charter company that required him to put up something like $5g's for training. Then they pay him back over the course of 12 months. Is this still PFT since he gets the money back? Is this a common practice? Are there any pros/cons to doing something like this? (I realize if this is considered PFT there are definete cons) I'm just looking a few rungs up the ladder and don't want to make any missteps! Thanks for the help!

 

[bobbysamd]

P-F-T??



Is your friend going to have the money rebated and also receive a paycheck? If this is the case, it may be some sort of training contract arrangement or some kind of a bond.

Some places will make you sign training and/or employment contracts, in which you promise to work for a specified period. If you leave before the time is up, you'll be liable for the company's cost to train you, probably on a prorated basis. I had to sign such a contract at FSI. It was unexpected, but I had no problem with it. I was not asked for money. The contract was for a 15-month term. I left after 13, and not a word was said about breach or anything like it.

If your friend is only getting the $5K rebated in increments and his "pay" is coming out of the money he put up, that sounds like P-F-T, and work-for-free to me. Moreover, the company will deduct Social Security and withholding from those monies, and your friend won't get his full $5K back. That sounds like fraud to me.

You have to decide for yourself if you want to sign an employment or training contract. Personally, I would have had no qualms about signing a training contract. Of course, P-F-T is P-F-T and everything that it implies.

 

[Cornelius]

I'm no expert at PFT but it sounds like your friend just has a training contract. PFT is where you pay for your training and checkout and you are not paid back. A lot of companies do this to save money because the employees have to be around for a year or two. If you leave early, then you have to pay back a cerain amount of the training costs.

C-ya

 

[HU-16]

No, he gets a paycheck, so I take it that this is not PFT then. Thanks alot

 

[Timebuilder]

Is anyone reminded of that outfit in Hawaii?

If the paycheck is paid out of the $5,000 he puts up, that sounds like a no-interest loan and work for free. PFT?

I think it quacks like a duck.

 

[HU-16]

Nothing like that at all, he gets a salaried paycheck plus payback for his training costs.

 

[flydog]

Its PFT if the company would hire someone with less experience and qualifications over another person just because they paid $5000

How would you feel if someone beat you out for a job because another guy slipped the interviewer an envelope with $5000 in it? Would you care if the money was refunded back to the employee later?

Most of these companies doing these upfront payment deals are scams anyway. They tell you well pay you back over 12 months and your next sim recurrent is on us. When you get to the 9th or 10th month they fire you and keep a few thousand of your money and replace you with another chump

Think about it! Why would they pay to keep an employee current when they can get another one to pay upfront?

Both of the companies I worked at recently switched to this type of arrangement and run through FOs like **CENSORED****CENSORED****CENSORED****CENSORED** through a goose

 

[flydog]

HU-16

PM me or post the name of the company and Ill tell you what I know about them. I think i know who youre talking about

 

[ksus]

EJA used to require a 10k deposit for your training
a few years back, paid back to the employee in installments.
In my opinion PFT, Yes.

 

[bobbysamd]

P-F-T v. Bribing H.R.

I like Flydog's analogy of P-F-T being the equivalent of slipping the $5K to the interviewer.

 

[Caveman]

This doesn't appear to be PFT to me. It costs a lot of money to type a guy and once typed that rating goes with you. If you take a hike before the company has a chance to recoup it's investment they are out the money they paid to train you and also the money to train the next guy. IMHO, it's not unreasonable to ask you to sign a contract that amortizes their training costs over a reasonable period of time.

There are some dishonorable companies out there. Make sure that any training contract also discusses what's to happen in the event of early termination through no fault of your own. A reputable company should be willing assume some reasonable risk.