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Can an employer cancel a paycheck that you have already been given in order to repay bonuses and/or relocation reimbursement?
Harwich, MA
Viewed 93 times.
Posted 8 months ago in Employment / Labor
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The employee had signed an agreement when he first began working with his current employer. The agreement stated that he was committed to the company for 12 months and any time thereafter he could terminate his employment however, if he terminated employment, he would owe back 75% of any bonuses given and 50% of relocation expenses paid. I would like to know if the agreement was legal in itself and then would also like to know, if there was an effort on the employee's part to establish a payment plan, can the company refuse to pay union-required severance and cancel paychecks for time worked in the past two weeks? Paychecks are weekly and the employee had worked for the company for 12 months
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Answers (2)
E. James Perullo
This attorney is licensed in Massachusetts.
Posted 7 months ago.
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ANY paycheck that you receive should be a valid payment and not retractable unless it can be proven that the amount or the payee is erroneous. IT also appears that if the employee has held-up his side of the contract agreement, as you stated, that the company is either in breach of that contract or in breach of another ‘constructive’ agreement.
employmentLaw@BayStateLegal.com 
Jay M Wolman
This attorney is licensed in Massachusetts and 2 other states.
Posted 3 months ago.
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If this is a union position, the employee should consult with his/her union steward. Terms of the collective bargaining agreement cannot be violated. That said, contingent bonuses and relocation expenses are not likely part of normal wages, and may legally be subject to forfeiture. The employer cannot dock checks to accomplish that; it may have to sue the employee.
Sincerely, Jay M. Wolman ____________________________________ Jay M. Wolman, Esq. D'Angelo & Hashem, LLC 6 Beacon St., Suite 505 Boston, MA 02108 (617) 624-9777 (ph) (617) 624-0999 (fax) Jay.Wolman@lawyeradvocates.com Admitted to practice in MA, NY & DC ____________________________________ The information presented in this response is not intended to form an attorney-client relationship nor is the colloquy protected by an attorney-client privilege or work-product rule. The answer provided is based solely on the minimal facts presented in the inquiry and represents only a preliminary and hypothetical response and analysis. It is not to be considered as legal advice and is for information purposes only. If you wish specific legal advice and recommendations about your particular situation, contact an attorney to schedule a consultation. This is not intended to constitute legal advertising or solicitation, but rather to educate. |
