Double paid almost a year after leaving - and being asked to pay it back

yessuz

Hi guys. 

Long story short:
On Thursday I was paid by my ex-employer. Got two identical bank transfers, same amount of ~390 gbp (total a bit less of 800).

Today I got call from ex-employer accounts rep explaining that new payroll company made a mistake and transferred same thing twice (so I had to be paid 400 rather than 2x 400)

Am I obliged to pay the amount back, if I do not work for the employer for 9 months already?

Some background:

I left the company in end of June 2021 (by voluntary redundancy). By that time I was eligible for the bonus for Q1 and Q2 which was not paid (due to delay of approving of sales targets...), and the amount I wasn't paid was significantly higher than the amount I was paid on Thursday. Note: this amount was estimated by myself as I was well on track on targets before approval..

Nevertheless, I do have a document (settlement agreement) which specifies that I am not eligible to any future bonuses (for the rest of the calendar year). But nothing about the targets I have achieved during Q1 and Q2...

So when I got paid I thought: ok, not what they owed, but still something. Nice.

Now the question:
I have no legal or employment relationship with the ex-employer anymore. And do not think I will ever return. So taken this into account - even I was paid by them for whatever reason and I was asked to pay it back (the second payment) as they "made a mistake", do I have to do that?

It's kinda sucky not to pay as amount is not really a significant one, BUT I feel mistreated when employed, as they did all they could not to pay my bonus (and believe me, they managed to find a reason to not pay me a significant of bonus, equal of few monthly pays)..

Thank you for the answers and suggestions in advance!

Thrugelmir

A mistake has been made. You can either voluntarily refund the money or your ex-employer will pursue the matter to recover it. The choice is yours to make. 

Dazed_and_C0nfused

Am I obliged to pay the amount back,

Yes.  What possible reason is there for not paying it back?

yessuz

Dazed_and_C0nfused said:

Am I obliged to pay the amount back,

Yes.  What possible reason is there for not paying it back?

Well I would definitely find where to use that amount (reduction of CC balance)

yessuz

Thrugelmir said:

A mistake has been made. You can either voluntarily refund the money or your ex-employer will pursue the matter to recover it. The choice is yours to make. 

Well sad.

But other than that, out of curiosity, what legal reasons would they have if I no longer have any relationship with the company? How does that work?

Ath_Wat

yessuz said:

Thrugelmir said:

A mistake has been made. You can either voluntarily refund the money or your ex-employer will pursue the matter to recover it. The choice is yours to make. 

Well sad.

But other than that, out of curiosity, what legal reasons would they have if I no longer have any relationship with the company? How does that work?

The same legal reasons anyone would have if you handed them £20 instead of £10 and asked for it back.  If someone gives you money by accident, you have to give it back.  Why do you think working for them or not makes any difference?

Sezzle1974

This is the legal response on dealing with an accidental overpayment made to an employee who has since left the business.

If you can’t afford to repay in one go as you’ve already spent it, you could ask to enter into a repayment agreement, they don’t have to accept but many will. 

• An employer may make an accidental overpayment to an employee in relation to, for example, their basic pay, commission or expenses. This is not unusual where the employer operates a computerised payroll, or it could be the result of a clerical error.
• The employer should act quickly on discovering an overpayment to an employee who has since left the organisation.
• If the employer cannot recover the amount from the employee's final wages, as they have already left, it can ask the employee to repay it. If this fails, it should consider whether to bring a court claim to recover the overpayment via the small claims court. 

yessuz

Sezzle1974 said:

This is the legal response on dealing with an accidental overpayment made to an employee who has since left the business.

If you can’t afford to repay in one go as you’ve already spent it, you could ask to enter into a repayment agreement, they don’t have to accept but many will. 

• An employer may make an accidental overpayment to an employee in relation to, for example, their basic pay, commission or expenses. This is not unusual where the employer operates a computerised payroll, or it could be the result of a clerical error.
• The employer should act quickly on discovering an overpayment to an employee who has since left the organisation.
• If the employer cannot recover the amount from the employee's final wages, as they have already left, it can ask the employee to repay it. If this fails, it should consider whether to bring a court claim to recover the overpayment via the small claims court. 

Thanks a lot!

Thrugelmir

yessuz said:

Thrugelmir said:

A mistake has been made. You can either voluntarily refund the money or your ex-employer will pursue the matter to recover it. The choice is yours to make. 

Well sad.

Even sadder when people haven't been brought up to do the right thing without having to ask. 

MalMonroe

It isn't your money, though. That is reason enough to pay it back. Yes?

Lavendyr

yessuz said:

Dazed_and_C0nfused said:

Am I obliged to pay the amount back,

Yes.  What possible reason is there for not paying it back?

Well I would definitely find where to use that amount (reduction of CC balance)

Great but that isn't a reason why you wouldn't have to pay back an amount paid in error....

It sounds a fairly obvious error so no reason not to pay it back.