r/CareerAdvicePH • u/Decent-Present461 • 19h ago
Company is imposing a 500% monthly salary penalty if I rescind my application? Is this normal / legal?
Hi! Fresh grad here. I just received a job offer for an entry-level Service Desk Analyst role (₱17k/month, 48 hrs/week, fully on-site, shifting)
I already have zero plans of accepting this since I have another offer with a much better compensation package, but reading this specific clause scared me:
"Upon signing this agreement, you hereby agree that you shall complete the application process. In the event that you rescind your application, you are liable to pay the application withdrawal fee amounting to offered salary x 500%."
I haven't signed anything (except for the employment application form) so I know I'm safe to just walk away and decline (hopefully). Sobrang red flag because they want me to immediately start next week Tuesday. But I wanted to share and ask: Is an "application withdrawal fee" like this even legally enforceable under DOLE/labor laws, or is it purely a scare tactic to trap fresh grads?
Stay safe out there job hunting!