Overpayment from Surplus

I was laid off earlier this year and a MR75 employee from California. I just received a letter from Payroll that they overpaid my final paycheck and want their error portion back by the end of the month. In California, we have California Labor Code section 221 makes it unlawful for any employer to collect or receive from an employee any part of wages that have already been paid to the employee. Most likely, a new AI bot didn't know any of the state laws outside TX. I called AT&T Payroll, and they have escalated it for feedback.

Anyone got a similar letter recently, especially from California?

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14 replies (most recent on top)

What state are you in?

Payroll person here (but does not work for AT&T). Always ignore a letter asking for repayment. Those are sent out hoping people will pay it back. Employers can sue you to get the money back; however, the costs to get the overpayment back is generally not worth it so most employers do not do that. I have never sent any overpayment request to collections but it could happen. Employers mostly end up eating the cost.

I also was "overpaid" $5k. They sent me to collections within 2 months. It's been well over 2 years now and I just got a threatening letter that they will sue lol

Code of business violation.

I got overpaid as well and I'm going to spend a few years in Thailand with it.

Tell them to go pound sand.

Happened to me as well. I am in CA and they turned me over to collections. I emailed HR and my former manager, got no explanation. Settled for 50% with the collections company as I was concerned about my credit.

Change your address and close your bank account. Make them find you.

You can throw that letter in the trash. They have no case to try to claw back the money. Tell them to sue you.

Tell them to bill Stankey

Sue them for mental health abuse.

Yup I had one of those when I was on leave of absence. I returned from leave and got overpaid twice again and tried to get it corrected before I quit and no one I reached out to could help. Waiting on that letter any day now. Didn’t know about this law.

How much dough are we talking about here?

Over 10k?

No need to pay it back. They won’t come after you.

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Overpayment from Surplus

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