Ex-employer claims to have overpaid me

HotPhil · 04-05-2005, 17:26

Two weeks ago I left my job. All done properly with notice period served etc. Today I received a letter from my ex-employer saying that "an overpayment of £X has been made to you... this amount will need to be repaid, you should forward a cheque to..." (where X represents about a third of my monthly pay!)
They've not explained how/when/why the "overpayment" was made. I don't have the money to pay back (and can't work out how they think they've overpaid me). Can they chase me for it? Should I just ignore the request? What's everyone think?

Hubert · 04-05-2005, 18:49

You will have to pay it back, write back and ask them to detail how the overpayment arose, and check your payslips etc and make sure you agree the amount though first

If the letter they sent is arsy i would drag my feet, ie do all correspondence via letter and ask alot of questions

malton_s5 · 04-05-2005, 19:31

Can't make you pay it back = what they gonna do take you to court - unless it's for thousands i don't think so=== tell em to coco.........

Shiesh · 04-05-2005, 20:14

Tell em you've spent it and can pay em back at £1 a month....!!

malton_s5 · 04-05-2005, 20:25

Wat a £1 a month I think that is a bit steep

15p a week and be grateful for that and I would demand a written receipt every payment as well

MovingOn · 04-05-2005, 20:26

Will you ever need to use them as a reference? If so, pay em back, if you can do without the privilege be as arsey as you like.

(my hubby's advice btw)

max · 04-05-2005, 20:36

I think the main thing to do is drag your feet. Write back, by letter, yes I know, it's antiquated but it gives you breathing space, and ask for a complete breakdown of why they think you owe them money.

When they respond, write back again and ask them if they have included your statutory holiday pay, including bank holiday entitlements.

Keep all correspondance and eventually, some time in 2006, take it all to the citizens' advice bureau. Or preferably, if you belong to a union in your new place, ask for the free legal advice available to all union members.

HotPhil · 05-05-2005, 05:20

Cheers for that. Think I'll write them a letter in about 3 weeks asking them to break it down and ask why it took 7 weeks from the day I handed my Notice in for them to get their records/systems in order. Don't think I'll put a stamp on the letter either - can't see why I should have to pay postage to help them sort out their mess.
If I do owe them money (which I'm by no means convinced I do) then they'll have to make do with a very small amount of it each month as I just can't get my hands on the sum they're talking about.
Geez, a company that can't even keep track of how much they're paying employees? SOOOO glad I got out....

willman · 05-05-2005, 05:31

the only problem with overpayment is that a third party could ask if you realised you were overpaid.on one occasion my wife was overpaid by about £30 and the following month her employer claimed it back from her.we knew what her pay packet should have been so she felt a it guilty by not telling them their oversight first.

Natane · 05-05-2005, 07:45

Someone has probably made an error and so that by no means entitles you to stoop to another level. Unless you are already that kind of person. Everyone makes mistakes...were you always punished for yours? Or are you a fair and easy-going person? Would you want back an overpayment you made to an organisation who treated you with the same disrespect back? Don't forget, what goes around comes around. And yes, the reference is might important..unless you weren't there long enough or aren't good enough to get a decent reference anyway?? Surely you are now working for a decent employer who will seek out your references?? Remeber, you are on probation and so if anyhting unsightly comes back in that time they don;t need to be specific as to why you are 'Unsuitable for the job'!
And how come you got no wage slip???????? How come you are asking the forum about overpayment and not about why your employer doesn't give you a wage slip...especially your last one...and your P45 for your new employer???? Usually with or follows the wage slip. Your wage slip details your final payment. I would take a guess that it's probably mis-calculated holiday pay or something like that. And you also say its a large sum....Are we supposed to believe you didn't notice this? If a bank cash machine pays you more cash than you asked and you take and spend it it IS tantamount to theft..and this is pretty much similar so yes, a third party (the judge) will know you don't expect a large overpayment. And the main thing..why drag your feet....surely you are RIGHT and they are WRONG and 10 mins on a calculator with them in the office will prove your point???????????
Mmmmmmm......I think you're asking us...can I get away with this or not!!!
Why don't you ask yourself.....Is this the kind of person I have become? Am I a good employee..or a deceitful, awkward one??
Sort yourself out and go and sort the problem out...if you find they are right then offer back £50 a month; they will accept as it would cost more in court costs. Unless they really despise you anyway in which case they might afford and want to pay the court costs and you will have a judgement on you for 6 years and you will probably have to declare this to your future employers (if they are decent, that is, during their recruitment selection) and also it would affect your credit rating.

If they are wrong and you are proved right.....you could have saved time visitng the forum by visiting them first...you haven't even shown us you have given them a chance to prove it either
way. What kind of person are you?

I wonder if you might let us know the real outcome!

rubydazzler · 05-05-2005, 07:50

oooooooooohhhhhh! well, that's told you, hotphil

Natane · 05-05-2005, 07:56

Lol...and i'm not supposed to be working today!!!

Phanerothyme · 05-05-2005, 08:22

I worked for the DWP for over 6 months.

Every month I told my line manager I had been overpaid (I was being paid london weighting).

Nothing ever happened until after I left when the DWP demanded a repayment of my overpayment.

Seeing as they have been well aware of the situation from the outset, I feel no compusion to act immediately.

But an overpayment is an overpayment and must, eventually, at £5 a week, be paid back.

Since the DWP has a National Overpayment Unit, one can only assume they have a big problem with this - apparently overpayments of £20,000 and more are not uncommon.

Natane · 05-05-2005, 08:27

well your case is different in that you made them aware from the off; you were happy to sort the problem out knowing it wasn't right to accept but none-the-less you could hardly pop it back into their petty cash tin either!! I personally would have saved that amount each month until they asked for it. Did you write to head office or was it just verbal to your own manager/hr dept?

Jamie · 05-05-2005, 08:48

They want something from you (the money). So you want to make the process of them getting it, as painful, tedious and convoluted as possible. It just won't be worth their time and energy to pursue the matter. Don't give them all your 'hurdles' on day one, drip feed them one by one. Bore the socks off them. Bla Bla Bla.

Yeah ... you could do all that ... but on the other hand ...

If your employer was good and fair with you. You may consider it a decent and respectful thing to pay back the money (assuming you had a good professional relationship with them).

Paying the money back will only help to boost your reputation and make you feel good about yourself (i.e. "yes I am a decent fair and honest person"). Not paying it back may lead you to a self belief that you're a crooked person.

There is a lot to consider here ... and your actions will have hidden implications in that you're sending a message to yourself about the kind of person you are.

It comes down to what you value more ... your bank account OR your character and integrity ... the choice is entirely yours.

Cyclone · 05-05-2005, 08:53

you certainly seem to have leapt to a lot of conclusions here.

Firstly hotphil said that he doesn't understand how he has been overpaid. Until this is satisfactoraly explained he's under no obligation to do anything and isn't acting dishonestly by asking for a full explanation.
He never said anything about not recieving a payslip, did you just make that up?
Then you go on to accuse him of trying to get away with it and imply that he's dishonest. I think you need to calm and down and read the posts again.
The way I read it was that hotphil doesn't believe he has been overpaid (and we have no reason to call him a liar, unless you know something we don't) and that since he doesn't believe he owes them any money he won't be rushing to help them out, which sounds fair enough to me.

Quote:

Originally posted by Natane
Someone has probably made an error and so that by no means entitles you to stoop to another level. Unless you are already that kind of person. Everyone makes mistakes...were you always punished for yours? Or are you a fair and easy-going person? Would you want back an overpayment you made to an organisation who treated you with the same disrespect back? Don't forget, what goes around comes around. And yes, the reference is might important..unless you weren't there long enough or aren't good enough to get a decent reference anyway?? Surely you are now working for a decent employer who will seek out your references?? Remeber, you are on probation and so if anyhting unsightly comes back in that time they don;t need to be specific as to why you are 'Unsuitable for the job'!
And how come you got no wage slip???????? How come you are asking the forum about overpayment and not about why your employer doesn't give you a wage slip...especially your last one...and your P45 for your new employer???? Usually with or follows the wage slip. Your wage slip details your final payment. I would take a guess that it's probably mis-calculated holiday pay or something like that. And you also say its a large sum....Are we supposed to believe you didn't notice this? If a bank cash machine pays you more cash than you asked and you take and spend it it IS tantamount to theft..and this is pretty much similar so yes, a third party (the judge) will know you don't expect a large overpayment. And the main thing..why drag your feet....surely you are RIGHT and they are WRONG and 10 mins on a calculator with them in the office will prove your point???????????
Mmmmmmm......I think you're asking us...can I get away with this or not!!!
Why don't you ask yourself.....Is this the kind of person I have become? Am I a good employee..or a deceitful, awkward one??
Sort yourself out and go and sort the problem out...if you find they are right then offer back £50 a month; they will accept as it would cost more in court costs. Unless they really despise you anyway in which case they might afford and want to pay the court costs and you will have a judgement on you for 6 years and you will probably have to declare this to your future employers (if they are decent, that is, during their recruitment selection) and also it would affect your credit rating.

If they are wrong and you are proved right.....you could have saved time visitng the forum by visiting them first...you haven't even shown us you have given them a chance to prove it either
way. What kind of person are you?

I wonder if you might let us know the real outcome!

Jamie · 05-05-2005, 08:57

Quote:

Originally posted by Cyclone
Firstly hotphil said that he doesn't understand how he has been overpaid. Until this is satisfactoraly explained he's under no obligation to do anything and isn't acting dishonestly by asking for a full explanation.

Yes I'd fully agree with you there Cyclone.

His first action should be to ask for explaination and details of what is owed.

xamanix · 05-05-2005, 09:05

Sorry but for a morning that was a bit harsh - has someone got out of the wrong side of bed this morning? He's only asking peoples advice dont bite his head off.

Natane · 05-05-2005, 09:14

isn't this a forum where we can all voice our thoughts and opinions?? like I said; the person is asking us instead of checking it out with them...he's the one who thinks he's been paid correctly. we are throwing in different angles that he can consider. I got out the right side of my bed..it's my birthday and i'm happy! i don't think we should all come on this forum and make the same agreements and neither should we encourage a person not to do the right thing...surely we have their best interests at heart??? don't be so rose-tinted glassed about this. it's serious business not paying back what COULD be owed. we are saying check it out then pending the outcome, take the RIGHT steps to solve the problem. what is wrong with that??

JonJParr · 05-05-2005, 09:16

Phil,

Unfortunately the bad news is that you have to return the overpayment to your previous employer. The good news is that by sending you a letter saying that they overpaid you they have effectively admitted it was their fault. As such, you are well within your legal rights to stipulate the terms of your repayment plan (I would suggest perhaps £5-£10 a week). This will demonstrate your willingness to repay the money whilst ensuring that you're not being left too short.

I'm sure that you did not know of the overpayment - after all, who knows exactly how much is in their bank accounts at any given time? The best course of action is just to repay the money over a set period - think of it as an interest free loan!