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Thomas
Thomas, Lawyer
Category: UK Law
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Experience:  BA (Hons), PgDip, Practising Solicitor
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My daughter is 21 and works as a chef in London.She got a pay

Customer Question

My daughter is 21 and works as a chef in London.She got a pay rise in June last year and the company miscalculated her salary and have been giving her an extra £300 per month since then.The company have just recognised this error and want to claw back £500 off her salary each month for the next 4 months.This will mean that my daughter will not be able to pay her rent.
What can she do?
Thank you
Richard
Submitted: 4 years ago.
Category: UK Law
Expert:  Thomas replied 4 years ago.

Hello Richard,


Thanks for your question.

 

Under 14(1) Employment Rights Act 1996 an employer make make deductions from an employee's wages to recover overpayments paid by mistake unless the employee was led to believe by the employer that the money was theirs.

 

Your daughter's employers are therefore legally entitled to make the deductions, so she should therefore think practically about her situation. Get her to engage in a constructive manner with them, make sure she tells the the effect that a deduction of that size will have on her financial position, that she did not realise the overpayment, plead poverty and ask them to reconsider the amount they are to deduct each month.

 

If your daughter is occupying her property under an assured shorthold tenancy (which she will be unless she received notice at the beginning of it that it was to be merely an assured tenancy) then the landlord may only serve a notice for possession upon here either where the rent is paid monthly and she is two months in arrears or where she has been persistently late in making rent payments.

 

Even after serving such a notice the landlord will then have to apply to court for an order for possession if she does not leave. Again though a policy of engagement with the landlord is probably the better view

 

Sorry it could not be better news but I hope you appreciate there is little point in my sugar-coating the situation.

 

If this has been useful please kindly click accept so that I may be rewarded for my time. It will be gratefully received and you will be free to ask follow up questions.

 

Kind regards,

 

 

Tom

Thomas, Lawyer
Category: UK Law
Satisfied Customers: 6430
Experience: BA (Hons), PgDip, Practising Solicitor
Thomas and 2 other UK Law Specialists are ready to help you
Customer: replied 4 years ago.
Thanks Tom,
Richard
Expert:  Thomas replied 4 years ago.

You're welcome, thank you for the kind accept. I wish her the best of luck,

 

Tom

Customer: replied 4 years ago.
Tom,
Just a thought, and maybe ACAS may well be able to help here, but could it be construed that there is an "implied" or actual variation in her contract as she has been receiving this overpayment in her monthly wages for the last 8 months?
Richard
Expert:  Thomas replied 4 years ago.

Hello Carsonparker,

 

Not unless the employer has after realising their mistake subsequently affirmed the new pay expressly to your daugher. Arguably, your daugther should have made them aware of their mistake or checked with them about the amount of her remuneration.


ACAS are certainly worth calling on the matter, they are exposed to a great many employment enquiries and may very well spot a trend of what is deemed a fair amount of repayment each month in these circumstances.

 

 

Tom

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