Currently out of work and in receipt of illness benefit. My employer paid me for 3 weeks holiday pay and are now looking for me to refund the benefit I recieved for those 3 weeks to the company. Is this correct?
Your employer has no legal obligation to pay you any sickness benefit, many companies don't. Most companies that do either deduct the cost of any state benefit from wages or expect you to refund them the cost of the benefit. This is so you don't make a "profit" from being sick. I would say their request is reasonable but you should check with you HR dept to see what the exact company policy on this is.