My family member works for a large non profit here in the States. The organization has been going through a major (as in multi-million dollar, several years in the planning) building redesign, but the employees have been assured repeatedly that the finances are in good shape. This is a place that in the past has had a very good reputation for treatment of employees, even during times when the job market favored employers (in other words, they were nice even when they didn’t have to be), although in recent years this reputation has been a bit tarnished.
Anyway. My family member recently told me that the uniform allowance the employees were to have received in November–a one-time payment to help offset the cost of the new uniforms they all had to start using at the start of the year–has not yet been paid to anyone in her department. It has appeared on their pay stubs, several times in fact, but when the actual amount of the check is itemized, the money isn’t there. The person in charge of payroll for their department keeps saying they’re looking into it.
Other departments have gotten their allowance but have had other issues. For example, the organization offers employees a significant reduction in health insurance premiums if they go through a wellness-type program. Those employees also are supposed to receive an annual bonus, which was to be paid at the first of the year. One department not only did not receive their bonus (although there was a line on their pay stub indicating it was being paid), but their health insurance was deducted for the full (not discounted) amount. (And no, the policies regarding insurance did not change at the first of the year.) This, too, is “being looked into”.
Neither my family member nor anyone else she has spoken to have had any issues regarding their actual wages; it’s only the extras that seem to come up short. The fact that different departments are having different issues (and some apparently haven’t had any) (yet) seems to point to the individual department heads being ditsy, perhaps due to the stresses of the multi million dollar project, but the fact that there is a common theme seems rather concerning.
Has anyone been through this sort of thing? Does it seem likely (from what is admittedly limited anecdotal information) that this is a cash flow problem as opposed to stress-related chaos? I’m trying to strike a balance here between being alarmist and being naive. Right now my family member is more annoyed than worried, but I can see that changing if more of these sorts of things happen.
Not paying is one thing. Having it on the pay stub and not in the check smells like fraud. Is it going to be reported as income and not paid?
I’ve heard of cases where money supposedly deposited in 401K accounts hasn’t been.
If I were your relative, I’d get other employees together and go as high up as possible, with the evidence, and demand an answer by a specific date. If they don’t get one, then it is time to research the applicable laws - which maybe a Doper lawyer will come in here and recite.
This info being listed inaccurately on pay stubs has me suspicious of some problem in Payroll or Accounting, possibly someone skimming. I’m just not seeing it as likely that people in different departments are all going to be making the SAME mistakes. Makes sense to me to look at any one common entity with relevant access, such as Payroll.
Sorry it took me so long to get back. Yes, the net pay on the stub says $800 while the check is for $750.
I appreciate you all’s responses. I had been looking at it as a cash-flow issue, probably because the experiences I’ve had that would be closest to this occurred when the company I was working for was in trouble financially, so I was thinking more along the lines of “how long is my relative going to have a job?”
But if there is some sort of embezzlement going on…wow, that’s insanely stupid on somebody’s part. Fortunately this is a large group of educated, sought-after-skilled employees who will be able to hold their own once they decide to pursue this (and I am pretty sure they will pursue it because as a group they are already pretty p.o.'d over some other stuff).
If it is embezzlement they are candidates for the stupidest criminals list, because when you embezzle it is probably not a good idea to advertise it with large friendly letters on the paychecks of many employees.
If it is a cash flow problem they are both cowards and stupid, since the thing to do is to tell your employees that their bonuses will be delayed.
If I were your relative I’d start calling lawyers while trying to get an appointment with the highest level person possible. The money may be vanishing even as we speak.
Please let us know what happens. I’d love to hear their explanation for this. It will be a doozy.
As an employer and one who does payroll, I would NEVER do what your employer just did that you described in this thread . That being said, make copies of your entire stub with the check attached for personal and quite possibly, legal reasons. Start making a paper trail (including contacting payroll, HR, dates and times, people, etc.) if you have not already.
This could all be some horrible mistake on someone’s part, but there’s no excuse for this happening two pay periods in a row, and no excuse for not having a valid explanation for it within a day or two after it happened the first time. Something is rotten somewhere.
I hate to bring this up, but have you seen the actual pay stub?