Hello, my name is XXXXX XXXXX it is my pleasure to assist you with your question today. I presume you knew at the time that you were being paid more than what you were due?
Yes I was aware but for the first few weeks I thought it would stop as I had informed my line manager and wages yet it continued and I must say out of hand!
ok thanks let me get my response ready please
most appreciated I will wait for your response
If someone has genuinely been overpaid by their employer, then that is not money to which they are legally entitled and it should be repaid. In fact an employer can make deductions from your salary for past overpayments without seeking your consent first.
However, an employee may be able to use the legal defence of ‘estoppel’ to resist an employer's recovery of an overpayment. One of the main cases dealing with this is that of County Council of Avon v Howlett. The employee was a teacher who was paid more sick pay than he was entitled to. The teacher queried the overpayments with the employer but was assured they were correct. By the time the Council had realised their mistake, the teacher had spent most of that money. The Court of Appeal held that the defence of estoppel prevented the employer from recovering the whole sum of the overpayment.
The way estoppel operates is that if the following conditions are satisfied, then an employee should be able to use it as a defence to resist the recovery of an earlier overpayment:
So whilst there is nothing stopping an employer from deducting these overpayments from your wages whilst you are still employed by them or pursuing a claim to recover them once you have left, if the above conditions are satisfied then an employee could raise the defence of 'estoppel' and prevent the claim for proceeding any further. But of course you must be able to show that you satisfy the above criteria for that to succeed. If you cannot do so, you may at least try and negotiate a reasonable repayment plan with the employer so that you are not left in a poor financial position as a result.
Got that thankyou I guess I need to negotiate about a repayment plan I have paid off some debts with the money and have nothing of the money paid to me left would you cite the above case to my employer if it were you?
there is no harm in raising it with them - they may not be that clued up as to the specific requirements so the worst is that they refuse to accept it as a valid argument, it won't make things worse off than they already may be
Then that is the plan I will raise the issue as stated and see where it takes me! Thankyou for your time!
You are most welcome, all the best
you too thankyou