Overpaid? Pay it back ASAP!

An employee was accidentally overpaid $1,950 and resigned without paying it back; leaving his employer out of pocket. 

Unsuccessful attempts at encouraging him to repay the debt resulted in the matter being taken to the Employment Relations Authority.  The employee failed to engage with the processes of the Authority and didn’t turn up to the hearing.  An order was made for him to pay $2,530 in repayment of the debt, penalties and costs.

If you receive an overpayment that you are not entitled to, it is important to rectify the matter as soon as possible.  An overpayment must be repaid. The consequences can be severe if penalties, costs and interest start to mount.

If you have received an overpayment and need to discuss ways of repaying the debt it pays to discuss this early with your employer. If agreement cannot be reached then it may pay to get legal advice.  We are available for a relaxed and confidential initial chat.

If you are having trouble recovering an overpayment from an employee we can assist with that process too.