The absurdity of the name aside, this is unconscionable on the part of the employers, and it's likely that most employees in this kind of circumstance can tell their employers to stuff it without any adverse consequence.
One thing worth keeping in mind for prospective entrants to the workplace: if any employer says you owe them money (for acts other than intentional or gross negligence, which for the most part employees are nevertheless legally not liable, but may feel ethically responsible), then it is no longer an employee-employer relationship. Put another way: if you're not an equity partner in a business or a strictly independent contractor who signed an agreement saying otherwise, you should never have to pay an employer for anything.
One thing worth keeping in mind for prospective entrants to the workplace: if any employer says you owe them money (for acts other than intentional or gross negligence, which for the most part employees are nevertheless legally not liable, but may feel ethically responsible), then it is no longer an employee-employer relationship. Put another way: if you're not an equity partner in a business or a strictly independent contractor who signed an agreement saying otherwise, you should never have to pay an employer for anything.