Growing scrutiny of stay-or-pay clauses trapping US workers
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Chantelle Cloete
Chantelle Cloete, Reporter

Advocacy groups are urging the Biden administration to ban the spreading practice of “stay-or-pay” contracts, which some argue force workers to pay tens of thousands of dollars if they resign ahead of a stipulated date.

Since September, these groups have been warning federal agencies and the White House that training-repayment-agreement provisions (TRAP) are locking employees into jobs and preventing them from speaking about labour conditions or their salaries.