**Urgent** - Overpayment Help

Mercyknight_2

Starting about 14 months ago, I was overpaid at work and I notified my management team straight away who failed to contact HR to adjust the amount owed, and this went on for some months, and then I personally contacted HR in January this year to organise repayment, which I did, they then failed to take the repayment from my subsequent payslips, other than the January payment. I contacted them again in April to find out the situation at which point they told me I owed over £2000.

Now, I gave notice at the end of July that I was leaving on the 31st August. My salary is calculated by 26th August payslip covering 1st - 31st August, and then I work a month behind on my commision so I would receive another payslip next month with my commision attached (thus making September my final payslip).

I have checked my payslip and they have deducted the full salary against the amount that I owe them, I was NOT notified of this, I have no money to pay my mortgage, my loan, my car insurance etc...

I agreed a payment plan with them, and this was in place, and they told me that once I left I would receive the amount I owe and options on how to settle this. This has not happened. I have contacted the payroll team and they are stating as per my terms and conditions of contract they can take the full amount from my final salary (which really should be September's payslip). I am still contracted to work until the 31st August but I have no money for fuel to get to work, let alone feed my family etc...

Surely they can't put some into final hardship especially when I've been honest and upfront about everything...

Can anyone shed any light on the matter, and if I've not been clear on any point please ask and I'll expand on it.

vicshippers

You've been 100% honourable and honest - it's shocking that they've done this. It sounds to me like the left hand not talking to the right.

Do you have anything in writing with the payment plan detailed? I would call HR and ask to speak to someone senior (it sounds like an admin error may have caused this in the first place) and see what they can do.

I'm not sure, but other than asking for their help I don't think there is anything you can do. Hopefully I'm wrong (I'm sure someone here that's wiser will know for sure).

Mercyknight_2

Thanks for your response, I am hoping someone on here will give more insight,

It's so frustrating that I've been honourable about the whole thing and for them to treat me like this.

DaisyFlower

They can, by law, deduct the overpayment from your wages - especially if you are leaving and they are covering themselves in case you dont stick to the payment plan once you leave and further action by them will cost them.

However, you have known for months that they are overpaying you, surely you would have just set the extra money aside rather than spending it?

Mercyknight_2

Yeah totally agree,

However the amount was so small over two years that I didn't even notice... I just assumed it was my salary, they didn't find out about the overpayment, I told them about the overpayment as soon as I realised! (when I'd added all my payslips up)

I would have set the money aside had I been aware

I then made an agreement with them that I would pay £50 per month until I left and then it would be settled outside. I understand that maybe under law they can take the full amount back, however that was not was agreed, they said they would send it to their civil collections team to arrange a payment plan upon leaving.

They also did not notify me that the full amount would be taken on my last payslip which will send me spiralling into unknown debt (mortgage etc)

moongarden

They have been really rubbish haven't they. Just be glad you don't work there any more!
I think somewhere in the back of your mind you might have expected to have to "settle up" at the end of the job but still its a bit of a shock to the system when they haven't been very up front about it.

I doubt they care very much what happens to you next as you have left and are no longer their concern!

Maybe you should look at this from another point of view. You've got rid of them and good riddance. Now you need to manage the £X you have in the bank and pay £Y bills with it.

Have you gone on to another job? could you get an overdraft until your pay comes through from the new job? if you are unemployed you will need to contact your creditors and tell them - particularly the mortgage - they have various ways they can help but YOU need to go to THEM before your payment is missed.

Mercyknight_2

moongarden wrote: »

They have been really rubbish haven't they. Just be glad you don't work there any more!
I think somewhere in the back of your mind you might have expected to have to "settle up" at the end of the job but still its a bit of a shock to the system when they haven't been very up front about it.

Yeah totally, but I knew this is how they'd go about it, so agreed with them not to do this...

But they are saying, so what, we can do it!

Plus another major point I've raised with them...

"How can I afford to travel to work with no cash to fulfill my remaining part of the contract until the 31st August"

Can I name and shame once everything is settled (their way or mine).. or is that not allowed?

Coupon-mad

I googled for info and found a few results, here's one worth a look:

http://www.paypershop.com/faq/overpaid.html

I'm not sure right now how you would stand as you are leaving, though. I can see why they deducted the owed amount but can also see this may have placed you in hardship. Rather than phoning, have you gone to see an HR Manager about it (if they are in the same building or area), or explained your hardship to your Line Manager?

Mercyknight_2

Spoke to my manager, spoke to HR, and spoke to Payroll manager,

All of them passing the buck and being really unhelpful...

I suppose it's what you come to expect from large companies like the one I work for...

Yeah I had a look here:

http://www.opsi.gov.uk/acts/acts1996/ukpga_19960018_en_3#pt2

And I still couldn't make head or tale of whether what they are doing is correct...

Mercyknight_2

It's official they're not paying me any salary this month, I've tried everything, so I've told my manager I'm not going back into work, I can't afford the fuel...

vicshippers

Mercyknight wrote: »

It's official they're not paying me any salary this month, I've tried everything, so I've told my manager I'm not going back into work, I can't afford the fuel...

That sounds moral to me - they haven't kept up their end of the agreement, why should you.