I was informed by my HR that they have made a mistake in my contract. Instead of typing "XXXXCHF will be paid once as relocation allowance", it was typed as "XXXXCHF will be paid once a month for next 12 months as relocation allowance".
I have even double checked this when I got the offer and called them to confirm. Then the HR assistant ( HR manager was on leave) said it was correct that way as typed.
So as its a very good allowance, I signed the offer and send it back.
HR manager signed it before, I suppose she did not read the contract herself.
Now I have taken a loan calculating this allowance.
Now the HR has found their mistaken and wants to renogotiate with me offering me some reloaction assistance and moving costs which are around 30% to the actual allowance mentioned in the offer.
They said its upto me to accept or reject as the mistake is on their side.
Now, if I say no to their offer, I'm afraid they would make something else later, like rejecting some trainings etc.
Any one please advice which is the right thing for me to do now.
As this is clearly a mistake the chances are, that when you do not accept, they may reconsider having you for longer term. At least that is my experience.
Is the relocation package in the "normal" form acceptable? Then accept.
It's rather more likely that they'll simply terminate your contract. You might get the relocation allowance for 2-3 months (whatever your termination period is) and then you'd be out of a job.
Keeping that it in mind, it's up to you to decide whether to fight for it or not; after all, they signed the contract. Is it worth you to come out here for 3 months of salary and relocation allowance, then lose your job?
It sounds to me like they're offering a fair deal - they clearly made a mistake, but can't terminate your contract in less than the termination period for a mistake on their side, and the 30% of the original offer you mentioned sounds roughly equivalent to the standard termination period.
It's hard to imagine what kind of salary / relocation allowance you're talking about here - I'd have figured a one-off of anything from 10-20k (unless you're a real bigwig) for a relocation allowance, so getting that monthly must have doubled your salary, give or take!
First lesson here is that if something looks too good to be true then it most likely is. That said, you did call to confirm, which they did, so it's not your fault. If I were you I'd explain your situation, accept it's their mistake, and see if you can negotiate a better offer than what they're making at the moment. In the end it'll be in both your interests to come to a satisfactory agreement so I wouldn't worry too much.
Talk to your HR about the loan. What I would do is: 1. Agree to their new allowance proposition 2. Negotiate a loan from your company with reasonable repayment terms, which would cover you financially
Take the offer. You're still 3000chf better off than you would have been if the hadn't made the mistake and you don't rock the boat with your employers. Or negotiate to have it for six months instead of the 12, that allows for a bit of compromise from both sides.
Given the recent turn of events I wouldn't want to risk losing my job at the moment.
I would not accept the change. Plain and simple. They have sent the written offer, you have asked to double-check, and they confirmed both verbally and in writing.
Only when you have actually moved (and taken that money into the account) they want to renegotiate. You have done your best, to go over it together with them, you pointed it out to them and they said it is in order. So it is in order then.
First rule when dealing with HR, they are always right even when they're wrong. I have a little insight as I'm married to a HR Business Partner and dealing with uppity little oiks who claim this, that or the other was in their contract means absolutely nothing to them. Just like all of us they make mistakes and they expect you to be understanding, but if you're not prepared to show goodwill then things *could* end up being very difficult for you in the future.
Rule 1: Normally the most incompetent idiots in any company are in HR
Rule 2: A contract is a contract.
You will find a million posts on the EF about signing a contract and not reading it blah blah blah so you're an idiot etc, but when it comes down to employee vs employer everybody runs scared.
Fact is you have a signed contract and double checked it with them. Fact is also they can fire you but they need a valid reason. As they have just relocated you for the role finding a valid reason will not be so easy.
I suspect the best thing to do is be reasonable but if you want to fight it you can do. HR normally back down once it gets interesting, they don't have the balls for it, if they did they would be doing a real job.
Tell HR to bare with you whilst you take legal advice.
No, they don't, at least not in any meaningful sense. If they decide that an employee is too expensive, he can be let go after the agreed notice period, no further "reason" required.