Hey everyone!
I am making this post for one of my coworkers so I apologize if I do not have all the details or answers to your questions right away. I also apologize if this is not appropriate for this sub, please let me know if it is not and I will remove/ repost in the appropriate place.
My coworker, Harry, is based in Texas and works remotely for our company in NYC as, essentially, a customer service rep. He recently confided in me that HR contacted him to let him know that for 3 months (August – October), HR did not deduct his medical and dental premiums from his check as they were supposed to. Harry was told that he had to pay the premiums for the months they missed in addition to the upcoming month's premium. This totals to a little over $3000 and HR would like to deduct $1500 (pre-tax) from Harry's checks for the month of November until it is recovered before returning the deductions to what they should have been.
After trying to get some clarity, HR then proposed that they would disperse the recovery across Harry's paychecks to the end of the year and garnish his year-end bonus, which seems to be what Harry has now agreed to.
I think it is outrageous and unethical that Harry is responsible, at all, for the repayment of the premiums for the missing 3 months when HR clearly screwed something up in his payroll. Harry's insurance was active during the 3 months when the premiums were not paid and used his insurance only 1 time. In my eyes, Harry should pay the insurance premium for November and his ongoing coverage but I believe the company should be responsible for the August-October premiums they screwed up on.
Does anyone know if, legally, Harry should be liable for paying back the missing premiums or if the company should be responsible for it?
any advice is greatly appreciated!
EDIT: This situation arose at the end of October, but I was only told about it today. Harry has paid the first installment in the premiums (roughly $760) but the rest is now being dispersed throughout the remaining paychecks for the year, his year-end bonus, and the first paycheck of 2024.