Overpaid by Employer

Nicollkeee

I started a new job in January - part time for 2 days a week. My contract states my salary and says that it is pro rata.

I missed the first cut off for being paid in January so at the end of Feb I was paid for the first time. My pay was over double what I was expecting and I have worked it out to be what I should be paid if I had been working full time.

I contacted HR on the day I was paid and told them I had been overpaid and wish to rectify it asap. They emailed back and said that it was correct and probably looks more because I am being paid for the time I started before the January cutoff so is more than a months wages.

I emailed back and told them I had taken that into consideration when working out what I should be paid roughly and said that I wasn't expecting that much because I only work 2 days per week.

Today I get an email back telling me instead of being overpaid I have been underpaid and they have rectified it for the next payroll.

My question is: If in a couple weeks/months/years time they decide I was in fact overpaid... can they demand it back after I have told them of the mistake and they have insisted it is correct?

I understand they can on a normal basis but due to the fact I have told them and they are now telling me I've been underpaid, does that change things?

Ballard

I don't have an answer for you but you've clearly done the right thing in notifying them that you've been overpaid. If I were in your situation I would leave it until next payday and then contact them again to insist that they've been overpaying you. keep a record of all of the correspondence and if it's possible to speak to them face to face.

If they persist overpaying you then bung the extra in an interest bearing account just in case they suddenly demand it back.

I like the sound of this company. Are there any vacancies there???


Edit: I forgot to mention that there's an employment forum here which would probably be a better home for this thread.

elsien

Maybe your line manager could also contact HR on your behalf?

LXdaddy

Could it possibly be that the salary quoted in your contract is "after" being pro-rated to take account of your part time?

Double_V

I would love to work for this company.

agrinnall

Nicollkeee wrote: »

My question is: If in a couple weeks/months/years time they decide I was in fact overpaid... can they demand it back after I have told them of the mistake and they have insisted it is correct?

As your post is not really about banking it would have been better asked on the Employment board.

However, as this question is the nub of your post my answer would be that yes, you would have to repay it, but you would be in a strong position to negotiate either or both how much you should repay and over what period. Personally I would move the extra money to another account and not touch it for now.

YorkshireBoy

LXdaddy wrote: »

Could it possibly be that the salary quoted in your contract is "after" being pro-rated to take account of your part time?

I wouldn't think so. If it was advertised as £20K pro-rata then 2 days a week would be £8K. Using your method the job would pay £50K for full time hours!

alanq

The end of the tax year is approaching. I wouldn't wait until next pay day to sort this out.

Dan83

Where do you work?

I wouldn't mind a job there!

Nicollkeee

I'm not sure how to really quote people's questions on this thing but here goes....

Could it possibly be that the salary quoted in your contract is "after" being pro-rated to take account of your part time?

Definitely not.. It's like a sort of intern job/ paid work experience whilst I'm at uni. The pro-rata salary is good enough!

Maybe your line manager could also contact HR on your behalf?

Yes I've spoke to him and he said he would talk to HR for me but the payroll department is based in Australia so not sure where that will get me.

Personally I would move the extra money to another account and not touch it for now.

But how long am I supposed to just sit on this money?

The end of the tax year is approaching. I wouldn't wait until next pay day to sort this out.

Thats why I'm trying to sort it out now.. There's only so many times you can email them telling them they are wrong. It's comical that they're even arguing with me.

agrinnall

Nicollkeee wrote: »

But how long am I supposed to just sit on this money?

If you really want to be safe (and you're in England), 6 years. I wouldn't touch it for at least 6 months.

I suspect that the payroll department being in Australia is not helping the situation, that sounds very odd, is your employer an Australian-owned company? Does it have a lot of UK employees? If not then there's a good chance that admin staff in Australia will not be fully clued up on UK law.