Employment contract terminated with immediate effect.. Now employers want overpaid holiday pay back

JAK64 · 20 March 2019 at 2:47PM

My husband had his contract terminated and was asked to leave straight away. He was not allowed to work through any notice. He had to wait for his final salary and he expected that this would be calculated correctly Five months later, the employers have come back to say he was paid 33 hours extra of holiday pay Approx £250.

He is unemployed, so can't repay this at the moment, but I am concerned that as they made the error my husband should be able to contest this , My husband was not aware they had overpaid him so has spent the final salary while looking for a new job. Does he have to pay? Is there anything we can do to mitigate this?

Thanks you in advance.

Comms69 · 20 March 2019 at 2:52PM

JAK64 wrote: »

My husband had his contract terminated and was asked to leave straight away. - why? and how long did he work there? He was not allowed to work through any notice. He had to wait for his final salary and he expected that this would be calculated correctly - was it? Five months later, the employers have come back to say he was paid 33 hours extra of holiday pay Approx £250. - was he?

He is unemployed, so can't repay this at the moment, but I am concerned that as they made the error my husband should be able to contest this - no, definitely not , My husband was not aware they had overpaid him so has spent the final salary while looking for a new job. Does he have to pay? - yes Is there anything we can do to mitigate this? - no

Thanks you in advance.

Obviously he cant pay straight away (though 5 months is plenty of time to find work!) so he needs to arrange a payment plan

ReadingTim · 20 March 2019 at 3:23PM

Imagine he'd been underpaid and the company wanted to keep the money. Would you/he be happy? Thought not.

Being paid what's owed works both ways you know.

getmore4less · 20 March 2019 at 3:25PM

Check the calculations carefully for what they have paid.

Did they terminate without pay or give him PILON or put him on garden leave.
(This changes the holiday accrual date)

If on garden leave did they explicitly say any was to be taken as holiday if they did did it follow the rules/contract.

If the over payment is for holiday taken but not accrued does the contract have a holiday overpayment clawback clause because if they don't have one there is no debt to repay for that reason of overpayment.

Potbellypig · 21 March 2019 at 11:22AM

JAK64 wrote: »

My husband had his contract terminated and was asked to leave straight away. He was not allowed to work through any notice. He had to wait for his final salary and he expected that this would be calculated correctly Five months later, the employers have come back to say he was paid 33 hours extra of holiday pay Approx £250.

He is unemployed, so can't repay this at the moment, but I am concerned that as they made the error my husband should be able to contest this , My husband was not aware they had overpaid him so has spent the final salary while looking for a new job. Does he have to pay? Is there anything we can do to mitigate this?

Thanks you in advance.

Can't offer you any advice in regards to the legal position on this, but perhaps calling them up and explaining he doesn't have a job but can start paying this back when he does, will help.

If the figures are correct, I'm not sure the avenue of ''well you paid me it so it's mine'' will wash in court. I don't know for sure though.

Employment contract terminated with immediate effect.. Now employers want overpaid holiday pay back

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