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When does the employer have to fully refund the training grant?

Prindi

Lisatud 06.07.2018

Training grant in case of employee recruitment:

The employer must return the full amount of the training grant if an employee's employment relationship is terminated on the employer's initiative before six months has passed from the employee's commencement of work, or if the employment relationship of an employee who has been unemployed for at least 12 consecutive months before starting to work is terminated on the employer's initiative before six months has passed from the date of submission of an application unless the employee has their employment contract terminated under subsection 1 of section 88 of the Employment Contracts Act.

This means that the employer must return the training grant if an employee's employment contract is terminated e.g. due to the employee's redundancy (subsection 1 of section 89 of the Employment Contracts Act), the cessation of activities of the employer (clause 1 of subsection 2 of section 89 of the Employment Contracts Act) or the declaration of bankruptcy of the employer (clause 2 of subsection 2 of section 89 of the Employment Contracts Act), or on the initiative of the employer due to the employee's unsatisfactory results during their probationary period (subsection 1 of section 86 of the Employment Contracts Act).

The training grant does not have to be returned if the employment contract is terminated on the initiative of the employee (extraordinary cancellation of an employment contract by an employee pursuant to section 91 of the Employment Contracts Act) or by agreement between the parties (section 79 of the Employment Contracts Act). Similarly, the training grant does not have to be returned if the employment contract is terminated on the employer's initiative pursuant to subsection 1 of section 88 of the Employment Contracts Act.

Training grant upon changing circumstances and for development of employees' Estonian language proficiency

The employer returns the full amount of the training grant if the employee's employment relationship is terminated on the initiative of the employer before six months has passed from the date of submission of the application unless the employee has their employment contract terminated under subsection 1 of section 88 of the Employment Contracts Act.

This means that the employer must return the training grant if an employee's employment contract is terminated e.g. due to the employee's redundancy (subsection 1 of section 89 of the Employment Contracts Act), the cessation of activities of the employer (clause 1 of subsection 2 of section 89 of the Employment Contracts Act) or the declaration of bankruptcy of the employer (clause 2 of subsection 2 of section 89 of the Employment Contracts Act), or on the initiative of the employer due to the employee's unsatisfactory results during their probationary period (subsection 1 of section 86 of the Employment Contracts Act).

The training grant does not have to be returned if the employment contract is terminated on the initiative of the employee (extraordinary cancellation of an employment contract by an employee pursuant to section 91 of the Employment Contracts Act) or by agreement between the parties (section 79 of the Employment Contracts Act). Similarly, the training grant does not have to be returned if the employment contract is terminated on the employer's initiative pursuant to subsection 1 of section 88 of the Employment Contracts Act.

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