In New Mexico can your employer withhold your entire paycheck?
i have an employee that was fired due to a data entry error that caused her drawer to be off by 300.00 our corporate office want to withhold her entire paycheck which is well over 300.00 to make up for the discrepancy. Is it legal in the state of New Mexico to with hold an entire paycheck without warning or notice? Also since the paycheck is MORE than the error amount can the company withhold the entire check. there was also more than one person working that day and more than one person entering data. no proof as to who commited the errror. please help me
Answers:
You cannot hold money that was lawfully earned. If your employee signed a document indicating that it was ok to take this money out, you can take out this money.
Otherwise, you really cannot do that. Why would anyone think you could. This is part of the cost of doing business. Every day people make mistakes that cost their company money. You are already firing the poor person. PLUS since more than one person was entering data and you have no proof that this individual is responsible, it is even worse. Were all individuals fired? If you did not fire everyone possibly responsible and take money out of their check, it sounds like a serious problem.
you are opening yourself up for a major lawsuit..be safe , pay her..
If you go to the website for the New Mexico Department of Labor, there will be information about that.
In a word, no, they can't withhold a paycheck due to employee error or breakage. It is against Federal Law.
It's illegal to withhold any of it for an excuseable error, which is exactly what a typo is. That's what insurance is for. Plus, the company would end up losing a lot more on lawyers when they get sued for it and lose.
The answers post by the user, for information only, FreeLawAnswer.com does not guarantee the right.
Answer question:
More Law Questions and Answers: