If my husband was laid off and given a final settlement/adjustment to cover unusedPTO but his company now saysit made a mistake, can it take it back?

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If my husband was laid off and given a final settlement/adjustment to cover unusedPTO but his company now saysit made a mistake, can it take it back?

It wants to recover unused vacatiob/sick days.

Asked on February 2, 2012 under Employment Labor Law, Michigan

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 10 years ago | Contributor

It depends by what is made by a "mistake":

1) If there was an agreement as to what he should receive, and they accidentally paid him more than that (or paid him for something there was no agreement to pay him for), they may get the extra or excess back.

2) If they agreed to pay him for his unused PTO, but then later changed their mind or thought better of it, they may not recover it--they have to stand by the agreement made with him, even if they wish they had not agreed to that (or even if someone realized that he or she violated company guidelines or his/her own boss's instructions in making that agreement).


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