Recoupment of Wage and Benefit Overpayments Underpayments Clause Samples

The Recoupment of Wage and Benefit Overpayments/Underpayments clause establishes the employer's right and obligation to correct errors in employee compensation, whether those errors result in overpayment or underpayment of wages or benefits. In practice, this means that if an employee is accidentally paid too much or too little, the employer can adjust future paychecks to recover overpaid amounts or to provide additional payment for underpaid amounts. This clause ensures that both parties are made whole in the event of payroll mistakes, promoting fairness and accuracy in compensation.