Unauthorized Deductions from Final Pay - NJ

[GottaGo]

What is the name of your state? Hello.
I am in NJ.
My husband recently resigned from his position. During his time at this job he received several certifications, including OSHA 30, and various LIRR/MTA certifications. The company paid for these classes, my husband attended and earned the certifications.

Another coworker resigned about a week ago and was charged for all of the classes he took as well as a $250 'administration fee', all totaling about $1000.
My husband has not yet received his final paycheck, but we are anticipating this same type of ridiculousness to occur.

It is my understanding that in NJ employers must pay employees wages for time worked, and that the only authorized deductions are those things authorized by an employee in writing or as part of a union agreement, and in certain categories like healthcare benefits, taxes/state insurances.

My husband has signed no agreement to repay the cost of any classes, nor has he authorized any kind of administration fee.

Is his former employer allowed to take money out of my husband's check, and if he does, what is our recourse? Report to NJ DOL?

 

[quincy]

What is the name of your state? Hello.
I am in NJ.
My husband recently resigned from his position. During his time at this job he received several certifications, including OSHA 30, and various LIRR/MTA certifications. The company paid for these classes, my husband attended and earned the certifications.

Another coworker resigned about a week ago and was charged for all of the classes he took as well as a $250 'administration fee', all totaling about $1000.
My husband has not yet received his final paycheck, but we are anticipating this same type of ridiculousness to occur.

It is my understanding that in NJ employers must pay employees wages for time worked, and that the only authorized deductions are those things authorized by an employee in writing or as part of a union agreement, and in certain categories like healthcare benefits, taxes/state insurances.

My husband has signed no agreement to repay the cost of any classes, nor has he authorized any kind of administration fee.

Is his former employer allowed to take money out of my husband's check, and if he does, what is our recourse? Report to NJ DOL?

How long did your husband work for this employer? Were the certifications required for his employment? Were these certifications earned during his regular work hours (was he paid his regular wages while earning the certifications)?

 

[GottaGo]

He worked for this company for about 9 months. Yes, he was paid regular wages while taking these courses.
Some of the coursework was done during regular business hours, some in the evenings or weekends (particularly the OSHA 30).
The OSHA 30 was required for his employment, the MTA, LIRR, and TSCTA (scaffold user) were not 'required', but they allowed his employer to use him at more job sites where they could not have worked if they did not have employees with those certifications. Hope that makes sense.

 

[quincy]

He worked for this company for about 9 months. Yes, he was paid regular wages while taking these courses.
Some of the coursework was done during regular business hours, some in the evenings or weekends (particularly the OSHA 30).
The OSHA 30 was required for his employment, the MTA, LIRR, and TSCTA (scaffold user) were not 'required', but they allowed his employer to use him at more job sites where they could not have worked if they did not have employees with those certifications. Hope that makes sense.

Thank you for answering my questions. One more question: Did your husband’s employment contract mention the certification classes?

An employer will generally require repayment of any extra course expenses if the employee leaves the employer within X number of months after hiring.

 

[GottaGo]

Thank you, Quincy.
We've read the Handbook front to back and there is no mention of classes or certifications or repayment thereof.
It is a hole they should close, but they have not to date.
I work in HR, so I knew to look for these things. I just don't know what the recourse is if these unauthorized deductions are made.
I'm assuming the first step would be to file a claim with the NJ DOL?

 

[Zigner]

I work in HR...

Once you've got this situation under control, you may wish to consider hanging out. It's always good to have another HR pro. We've got a couple already (not me...I'm just "familiar" with HR matters and by no means an expert).

 

[quincy]

Thank you, Quincy.
We've read the Handbook front to back and there is no mention of classes or certifications or repayment thereof.
It is a hole they should close, but they have not to date.
I work in HR, so I knew to look for these things. I just don't know what the recourse is if these unauthorized deductions are made.
I'm assuming the first step would be to file a claim with the NJ DOL?

The first step would be for your husband to contact his former employer to learn what the employer’s justification is for the deductions in pay - and then to see if the employer will voluntarily pay the missing amount. After that, a DOL claim can be pursued.

 

[Zigner]

To be fair, this is all preemptive for the OP. There have been no deductions yet.

 

[quincy]

To be fair, this is all preemptive for the OP. There have been no deductions yet.

Correct. First would be to see if any questionable deductions were made from the final paycheck.

 

[GottaGo]

@Zigner - Correct! This did just happen a week ago to another former employee, so we were merely trying to get our 'ducks in a row'.
When the other employee resigned they took his certification IDs. They did the same to my husband (to 'make copies'), so it seems they are on the same track.
The difference, however, is that when they refused to return the IDs my husband called the police and the police made them return his property (the IDs).
Yes, of course the first move is to try to rectify with the employer directly. I should have mentioned that.

As far as 'HR Expert' I'm not sure if I qualify as an expert, but I would be happy to give back if there were a matter where I could offer some insight.

Thank you both, Quincy and Zigner, for your feedback.

 

[quincy]

We both appreciate the thanks, GottaGo, so thank you.

If you have time to post updates, we always like to hear how things turn out.

 

[GottaGo]

Payday is not until next Friday, but I will let you know how it goes!

 

[quincy]

Payday is not until next Friday, but I will let you know how it goes!

Great.

My fingers will be crossed until that time that your husband’s paycheck will have no problematic deductions.

 

[adjusterjack]

The difference, however, is that when they refused to return the IDs my husband called the police and the police made them return his property (the IDs).

Good for him.

Hopefully, he put the fear of God into them and they might think twice about the deductions.

 

[quincy]

Yes. The fact that another employee had the course-expense deductions from his final paycheck does not necessarily mean GottaGo’s husband will see the same deductions from his. But it is smart to prepare in advance for the possibility.