The European Centre for the Development of Vocational Training (CEDEFOP) has published a study which examines how the use of financing schemes using payback clauses for training may encourage companies to invest in employees' training. These clauses allow companies to offer training to their workers by safeguarding their investment if the employee leaves the company.

The report published by the European Centre for the Development of Vocational Training (CEDEFOP) under the title Payback clauses in Europe: supporting company investment in training, provides an overview of the existing regulations in 33 European countries. It also provides an in-depth analysis for eight European Union countries – i.e. Germany, Italy, Luxembourg, Netherlands, Romania, Slovakia, Sweden and the UK, for whom the report takes a closer examination of the implementation of payback clauses.

Despite the study is based on data supplied by different surveys conducted by public authorities, business organizations and by companies, their findings reveal that existing information about the practical aspects of these instruments is still limited. Issues such as whether or not payback clauses are included in labour contracts and agreements for training, or the application of these clauses by the companies in cases where workers leave the firm, are still poorly studied.

Among its findings the report' shows that payback clauses are regulated at different levels depending on the country. In some cases this is done nationally, in others regionally, and in some cases these are aspects included in collective/sectoral level agreements. Moreover, the report highlights that despite the fact that these instruments are intended primarily to protect company's investment in employee training, they are also an instrument to protect the worker form abuses such as reimbursement of some training which actually part of the job itself.

The report underlines that payback clauses are an instrument which is not generally used but offers great potential to develop one of the main policies promoted by the European Union in the field of flagship initiative of the Europe 2020 for the skills and jobs. It concludes that payback clauses are likely to become a more common tool in the coming years, especially in a scenario in which working life could be extended.