Union dues deduction error and potential liability

hrnorth · August 2001

We have a situation where we may have made an error and deducted too little union dues from employees vacation pay several months ago. If we find we did err, the Union is demanding this employer pay the amount the union lost, since many of the employees are now on layoff. They've even filed a board charge on this. If we made an error, what is our liability? Can't we provide the union with a list of the people involved and any shortages we can identify and let them pursue their members?

Down_the_Middle · August 2001

If you have labor counsel assisting you with contract negotiations, etc., I'd recommend checking with them. If you have dues check-off in your contract, then I believe you're obligated to correct the error and submit to the union. If your deduction of union dues is a discretionary thing (you do it voluntarily)., then I doubt you have the obligation to correct the errors and I would let the union pursue its members. You should also have a clause in your contract which addresses inadvertent payroll errors and allows you to make the correction promptly w/o any interest or penalties payable to the union.

System · August 2001

You probably need to hire a lawyer for this one. If you don't have one, you could contact the lawyer who writes our Employment Law Letter in your state at
[url]http://www.hrhero.com/findanattorney.shtml[/url]

James Sokolowski
Senior Editor
M. Lee Smith Publishers

hrnorth · August 2001

thanks!

Union dues deduction error and potential liability

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