New Student Contract

Discussion in 'Prime' started by Chucktaylor, May 19, 2016.

  1. Chucktaylor

    Chucktaylor Road Train Member

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    There are new contracts going forward for PSD students signing on to get their CDL thru Prime.

    Still a year of employment required. Cost of school has increased and if they quit after 6 months, the "pay half the tuition" is no longer valid. You will be required to work for Prime for one year and the tuition debt is forgiven. Quit under a year and you will be required to pay back the entire amount.

    Also, students will be now be signing a non-compete clause. If you quit before the year obligation is up, you will not be allowed to work for another trucking competitor for 2 years and Prime will attempt to recoup any training costs from any carrier that agrees to hire you. Pretty much this will discourage anyone from hiring you. This is only if you quit before your year obligation is up.

    This is not something Prime came up with itself, but in response to other carriers like CR England, KLLM and several others that have issued cease and desist letters in response to hiring individuals who have left those carriers after they had signed training contracts with non compete clauses. Apparently there have been several threats of lawsuits by these carriers against Prime to discourage hiring of these former trainees and possibly re-coup the costs of training these drivers.
     
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  3. alghazi

    alghazi Road Train Member

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    That non-compete clause is a joke. Any reputable company will place a cease-and-desist letter into the circular file and proceed.
     
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  4. tommymonza

    tommymonza Road Train Member

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    I think all the companies are going to get tough with their company cdl programs now that the freight has slowed down.

    I bet they don't collect 70 percent that they bill to students.

    Student bails out loses everything , next step is declare bankruptcy.
     
    darthanubis and TequilaSunrise Thank this.
  5. BigSky

    BigSky Light Load Member

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    The "non-compete clause" will not stand up to a legal challenge, it's to broad ... it must be reasonable in scope, geography, and time. Prime (or any company) may attempt to "garnish" your wages (by obtaining a court order) for debts you may owe them, but a new employer would not have assumed liability for your debt.
    What it may do is make people more serious when they consider their commitment, which is a good thing.
     
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  6. 100 Percent

    100 Percent Bobtail Member

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    Yeah. I see most companies moving towards it now. They're getting tired of training people and they up and leave, go right to a competitor, without getting their monies worth. Plus, like @tommymonza said, they "could" make MORE money if they can collect that $4500 on top of what you've worked. Free money and free work for them.
     
  7. 100 Percent

    100 Percent Bobtail Member

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    When does the 1yr commitment start? (Day 1 or when you get your actual CDL?)
     
  8. unloader

    unloader Road Train Member

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    That non compete clause is ########. I'd laugh my ### off at that and I guess that would be that lol.

    It's crazy how much has changed with these starter companies in just three years time. Seems like there are a lot more hoops to jump thru. My experience with central refrigerated in 2013 was pretty straight forward.

    unloader
     
  9. tommymonza

    tommymonza Road Train Member

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    On the henderson thread there was a comment by one student that he is the only person employed by them out of 30 students.
    i think there is a lot of desperate people these days that were seeking trucking as a way to make more than 20 thousand a year , and not necessarily as a love for trucking.

    Also discovered there was much more to it than just driving and it can be lonely out there.
     
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  10. Mrgreen09

    Mrgreen09 Light Load Member

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    Well this must be new because I'm on my 2nd week of psd and there is no competition anything.
     
  11. Chinatown

    Chinatown Road Train Member

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    CRST does the same, but drivers leave anyway and go right to work somewhere else.
     
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