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This is because the agreement with the client allows for them to do this. They also have project cost overruns in the budget for these situations. But make no mistake, it does come out of the employee's compensation somehow, just not the next paycheck.
Please go back and read my posting. It's quite clear what can and cannot be docked. This consistent inaccurate point of view that keeps getting relayed is poorly executed. How about citing the federal and state regulations that support your so called employer right to be compensated via docking pay? The courts decide, upon proof.
When companies make large profits.. They are not forced to share the wealth with staff... Yet you somehow think they can penalize for loss? Brilliant double standards.
That's completely different. There was no guarantee or expectation that there would be zero losses in the investments. It isn't like the customers were expecting the portfolio manager to cover any losses in the investments due to market fluctuations bad judgement calls in trading. Fraud and theft is a different story.
It is different but not completely different. The mom's mistake was operational. She did something that caused the company to lose money. She did not commit a crime.
They can fire you, but I am pretty sure they can't make you pay if it is part of your every day work and you make a mistake. You are an agent of the company and the company takes all responsibility for your actions. It is the risk companies take with their employees. The cost of doing business.
The problem, is that the amount is so small most people aren't willing to turn their life upside down for it and the employer gets away with it.
Personally, I would of told the employer to pound sand, sued in small claims and quit, but I realize people aren't always in a position financially to do that.
This is because the agreement with the client allows for them to do this. They also have project cost overruns in the budget for these situations. But make no mistake, it does come out of the employee's compensation somehow, just not the next paycheck.
Nope. Never cost me anything. I even got a bonus that year.
Good bosses know how to transfer costs to protect their people.
I'm now a middle manager. Even though I never figured out how he made that cost go away, if this was to happen to someone who works under me I'm pretty sure I can make it go away using my own methods.
Don't bother with small claims court. Winning is one thing. Collecting is another very difficult mater.
Report them to the Department of Labor and let them put the employer in a world of hurt. That is disgusting and illegal to charge a min wage employee for that. They are not being paid to assume such risks.
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(set 16 days ago)
Location: Log "cabin" west of Bangor
7,064 posts, read 9,138,972 times
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Quote:
Originally Posted by eastcoastguyz
You are arguing a matter of accounting. An employer isn't going to eat the cost for a business loss. It has to come from somewhere. If the employees are the ones who have control over the business loss, then they are the ones to pay for it. Look, even if the employees were perfect and business is slow that year, they will pay for it anyway in lower raises or no raises, or bonuses. The fact that the mistake is going to immediately come out of the employee's paycheck is really no different.
Yeah, it *is* different. It is totally illegal to deduct such expenses from an employee's wages. That sort of crap used to go on particularly at restaurants, when already low-paid waitresses were docked for broken dishes or customers skipping on the bill- and it has been ruled that it just can't be done.
I had an employee, a truck driver, who on payday tried to drive a company truck through a bank drive-thru to cash his paycheck. The truck was too big and he did a *lot* of damage. The company had to pay the bank and there was not a thing we could do to recover from the employee. It is simply not legal.
The person in the OP doesn't need a lawyer, but instead needs to contact the Wage and Hour division of the local Department of Labor. They will see to it that she is paid what she is due, and if they attempt to fire her it will be further actionable under whistleblower protections.
The bonus is a different story. By definition, a bonus is not part of ordinary wages and may be any amount or none at all. If the boss does not want to pay the bonus because she [messed] up, that is well within his rights.
The person making the mistakes should be canned so the mistakes stop happening.
Every person makes mistakes, as do computers. Someone has to do the work, and since there is no way to eliminate error, what do you suggest? As for OP's answer, can a company charge employees for their mistakes? Yes. Should they? That's a moral question. Some do and some don't. It depends on a lot of things, and many times it has to do with the cost of the error. $800 is very costly indeed. It may not seem right, but it's hard to blame the boss for this when it's such a large amount.
In my job (optical,) correct data entry is also extremely important. When we are sending off any order, especially insurance jobs, we need to be sure we get a patient's prescription right, as well as type of lens, add-ons, type of frame etc. A -5.00 lens is completely different from a -0.50, and we have to eat the cost of a remake if we type it wrong. However, the employees don't pay; our business does. The doctor says we all make mistakes and as long as we do our job well and keep them to a minimum that's what matters.
Years ago when I first started working in engineering, as a young engineer I made a huge mistake. Huge as in about $10k huge. My boss joked for a couple days that I'd be paying for it. He somehow made it go away.
I wouldn't say $10k is huge unless it's a local mom n pop retail store, which it obviously isn't.
Yes, but our deductible is around the same amount, and we'd rather not report it to avoid our premiums going up.
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