Legal Question in Employment Law in New York
Payback for a check issued
I was on leave from a job because of school. My Company sent me a check for a weeks pay because for some reason their computers said I worked. The person in charge of my finances cashed the check not knowing that I didn't earn it. A few months later my company found out there is a glitch in their computers and now they want me to pay back the money that I used months ago. Do I legally have to give it back or am I not required to pay back because they were negligent? Do they have a right to fire me over it? Are they allowed to withold wages from me until the money is payed back? There is a catch to this. They aren't sure if I worked. If I tell them I did then they will attribute the fact that there are no records of me working that day to the computer problems. If I am honest I feel I might put myself into a whole sleu of problems. Please help!
2 Answers from Attorneys
Re: Payback for a check issued
If you didn't work, you'd be saving yourself a slew of headaches (As well as banking good will) if you paid back the money. However since they paid you the burden of proof is on them to prove you didn't work. If you didn't you owe them the money. Even if your financial advisor wasn't aware of the circumstances in having received the check, he is your agent or employee and you are responsible for his actions.
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Re: Payback for a check issued
I agree with most of what Mr. Loeb said. It's not just a matter of "saving headaches" or "burden of proof," however. It's a matter of fundamental honesty. You told us that you did not work and were paid in error. The money does not belong to you, legally or morally. You have an obligation to return it.
In answer to your other questions:
Q: Can they fire you over it?
A: Yes. In fact, they can fire you for no reason whatsoever, just as you can leave for no reason whatsoever.
Q: Can they withhold wages?
A: No. the NY State Labor Law prohibits that.
Do the right thing.
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