Employees overpaid wages for several years

carrig12345

Registered User
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Hi guys

I have recently taken up a job a part time bookeeper in my brother in law's small hotel. I was looking through the payroll records and it turns out that he has been over-paying two employees for the past few years.

Basically these 2 employees, good workers according to him, have been paid €18 per hour net of tax whereas they should have been paid €18 per hour gross. It's cost him approximately €120 extra per week per employee for the past 3.5 years as he was paying their tax for them!

Obviously it's completely his mistake, he foolishly didn't pay enough attention to the wages (hence the need for a bookeeper, I suppose). But he's now wondering how to address the situation.

I told him he needs to reduce them to €18 per hour gross. Presumably this won't be a problem. I'm wondering could he go about trying to some of the money back from them? Unlikely, I suppouse given there is no work contract in place.

All advice greatly appreciated.
 
If a reasonably decent contract of employment is in place, it will say something like "overpaid wages will be deducted when discovered"
But professional advice would be needed to know where you stand. Are you member of hotels federation? they may help.
 
If they have been recieving this level of wages for a few years, does this now become their wages because of custom and practice (or whatever it is called, I am not a legal expert!)
 
Don't forget to check his P30 & P35 returns to make sure he has been paying over the correct tax based on their higher "real" gross pay.
 
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