Relocated to "no job" company holding me responsible for relo. exp.

Tried to summarize...there's alot more to it...summary after questions.(I am willing to pay for a consultation in Dallas or Houston)...

Q:Am I responsible for repayment of relocation? (see below summary)

Q:Can they withhold money from my final paycheck (if I resign) for repayment? (Promissory note signed)

Q:They are denying responsibility as they stated that I was going to move to TX anyway...which I was...but I would've accepted the other offers from outside organizations and would've moved sooner; if they hadn't mislead me to believe I had a secure job / position in TX. What recourse may / do I have?

Q:They are refusing to offer me a severance package unless I stay until the end...but are refusing to pay me retention pay. (Based on both policies in handbook...I qualify for both / either).

Living in AL; was offered an Area Director position (promotion) in Texas, with current employer. I accepted the position (Area Director - to include oversight of 18 facilities in multiple states); which included a relocation package. (I declined a more lucrative offer from an outside organization in order to remain with current employer). Five days after accepting the written offer, I heard "rumors" of a company reorganization of which would eliminate the "Area Director" position. I immediately contacted the dept. director, via email, (which i kept) to inquire about the validity of this "rumor". The dept. dir. assured me that he was unaware of any such changes. However, 4 days after this conversation took place I was contacted via telephone, by this same dir. and informed that this would affect my "new job". I informed him that I had already received the relocation monies and began the "moving" process. He committed to ensuring employment for me in the Texas office; after this "new job" was eliminated...which wouldn't be until 6-8 months later. 3 1/2 weeks later; I physically moved myself and my 14 year old son to TX to begin employment in the TX region. Upon my arrival this dir. contacted me and asked me to return to Alabama for a month long assignment; of which I complied. (stayed in an extended stay hotel) At the end of the 1month assignment I returned to TX and was informed that the "Area" of which my position was responsible for; had already been "reorganized" and that I would not be performing any of the duties as an "Area Director". I asked about a "formal notification" and was informed that until I receive "formal notification" I would be working as an associate under the supervision of a staff member of whom would have been my "subordinate" in my role as "Area Director". The organization has excluded me from Leadership Meetings and invited other "Area Directors"; I am having to use my personal cell phone because they can't approve the expense of a company cell phone. (I had to purchase this cell phone because I had one from the company in AL but had to leave it in that region). I have been informed that if I leave prior to a "formal" notification, I will have to repay all relocation fees. (Promissory note states if voluntarily termination or termination for cause within 12 months from the date employee began working in the position for which they were hired; employee will be responsible for repayment of relocation fees).

1 answer  |  asked Feb 16, 2005 8:12 PM [EST]  |  applies to Texas

Answers (1)

Margaret A. Harris
Good Deal Gone Sour

This happens so much, it's awful. I'm so sorry for your situation. I'd be glad to consult with you -- but since you're in Dallas, you'd be better off seeing someone up there. You need someone to do some creative thinking with and for you. It will depend on what's in the documents, but you might be able to put together a sufficiently good argument about how the company breached its duty toward you -- such that you could brush them back from the plate and prevent them from going after you for the money. Definitely consult with a lawyer who is used to representing employees in negotiating deals with employers.

Good luck!

posted by Margaret A. Harris  |  Feb 17, 2005 09:37 AM [EST]

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