Your employer sends you for training; both sides sign a vocational training contract with a 3-year post-training service commitment. After one year you want to resign — the company demands full reimbursement of training costs. Is that lawful? The answer depends on two independent grounds in the Labor Code 2019. This article analyzes when employees must reimburse training costs upon resignation.
1. What must a vocational training contract contain? (Article 62, Labor Code 2019)
Under Article 62 of the Labor Code 2019 (45/2019/QH14, effective 1 January 2021), a vocational training contract must contain these principal contents:
- The occupation to be trained;
- Training location, duration, and salary during training;
- The committed post-training service period;
- Training costs and liability to reimburse training costs;
- Responsibilities of the employer and of the employee.
The two bolded items are the backbone of every training-cost reimbursement dispute: the service-period commitment and the reimbursement liability.
2. What counts as “training costs”?
The law lists expenses supported by valid vouchers: payments to instructors, study materials, school/classroom, machinery, equipment, practice materials, other learner support costs, salary plus social, health and unemployment insurance contributions during the study period. Where the employee is sent for training abroad, training costs additionally include travel and living expenses during training.
Practical consequence: an employer claiming reimbursement must prove each expense with valid vouchers — no lump-sum estimates.
3. Two cases triggering reimbursement
Case 1 — By operation of law (Article 40(3)): an employee who unilaterally terminates the labor contract unlawfully (violating Article 35 on unilateral termination rights — typically by breaching the notice period) must reimburse training costs, regardless of whether the training contract contains a reimbursement clause. The employee must also compensate half a month’s salary plus salary for the non-noticed days, and loses severance allowance.
Case 2 — By agreement (Article 62(2)(d)): the training contract stipulates a committed service period and reimbursement liability. When the employee leaves before the committed period ends — even while terminating the labor contract lawfully with proper notice — reimbursement may still apply under the agreement, usually pro-rated to the unserved commitment period or per the agreed formula.
4. Answering the question: must a resigning employee reimburse training costs?
Not in every case. Reimbursement arises only under one of the two cases above. Conversely:
- Lawful resignation (proper notice under Article 35) plus completion of the full committed service period → no reimbursement;
- A training contract without commitment/reimbursement clauses, with lawful termination → no contractual reimbursement duty (only case 1 could still apply if termination was unlawful).
5. Practical recommendations
For employers: always sign a separate vocational training contract (not just a few lines in the labor contract), state the commitment period and pro-rata reimbursement formula clearly, and keep full vouchers of training expenses.
For employees: read the commitment-period and reimbursement clauses carefully before signing; if leaving early, calculate the reimbursement cost and negotiate — many cases settle with reductions reflecting time already served.
6. Frequently asked questions
Q: If I’m dismissed after training, must I reimburse training costs?
A: The law imposes no reimbursement duty upon dismissal; liability arises only under the two cases in section 3 and the training contract’s terms. If the contract expressly covers dismissal, its terms apply.
Q: The company demands reimbursement but shows no expense vouchers — what then?
A: The employee may require the employer to prove training costs with valid vouchers; unproven expenses cannot be enforced.
Need advice on drafting training contracts or resolving reimbursement disputes? Contact us.
This article was prepared by the FLAW AI Legal Council. Content is pending QA Council review before submission for approval; information is for reference only and does not replace legal advice for your specific case.