Legal rights after an overpayment

What payroll can do if there is a mistake on a paycheque
By Kieran Moore
|Canadian Payroll Reporter|Last Updated: 07/06/2011

Mistakes happen. You try to ensure every payment is correct, but sometimes an employee gets paid too much because of an accounting error or an incorrect assumption.  It could be an under-deduction for employee contributions or taxes, or an overpayment of wages or vacation pay.

While it may be tempting to offset future amounts owed to an employee, in many Canadian jurisdictions an employer is not permitted to deduct wages without the consent of the employee or a court order. Each province is differently regulated in accordance with local labour or employment standards legislation. Federally regulated unionized workers are also treated differently, with some permitted deductions.

British Columbia