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Bonding: What it is and why it’s showing up in more legal employment agreements

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Bonding: What it is and why it’s showing up in more legal employment agreements

You’ve handed in your resignation. Maybe you’ve accepted a new role, or you’ve decided not to return from parental leave.

Then comes the shock: a bill from your firm for thousands of dollars. Welcome to bonding.

Traditionally more common among lawyers, they often include relocation clauses, study costs, or sign-on bonuses. In a more recent trend, bonding is now showing up across legal support role contracts, too and taking candidates by surprise. Legal Secretaries, Legal Executives, and even junior admin staff are starting to encounter bonding clauses tied to benefits like:

  • Study support (e.g. Legal Executive Diplomas)

  • Sign-on bonuses

  • Maternity leave top-ups 

One area that’s catching some people off guard is parental leave. A number of firms (particularly those aligned with Crayon’s parental leave register) are doing a fantastic job offering enhanced leave entitlements, 22 weeks of salary top-ups on top of the government subsidy, for example.

But the part that is crucial to understand is if you don’t return to the firm (or leave within a certain timeframe), you may be contractually required to pay that top-up back. It’s not a universal clause, but it’s becoming common. And in some cases, repayment amounts can reach up to $10,000.

It marks a shift in how firms are thinking about retention. Bonding isn’t new, but it’s becoming more widespread and formalised, even for legal support roles where it hasn’t typically been enforced.

As a candidate, key things to look out for in a contract are:

  • Is there a bonding clause in your employment agreement or parental leave policy?

  • What benefits does it cover: sign-on, study, maternity or leave in advance?

  • What triggers repayment?

  • How long do you need to stay before you're "in the clear"?

Whether you’re planning a move, rethinking work after parental leave, or simply reviewing your options. It pays to know your obligations before you sign so you can make informed decisions and consider the impacts on career planning, family planning and financial security.

Head to Crayon’s parental leave register to see which employers are offering these benefits. It’s great to see a number of our clients represented.https://www.gocrayon.com/register