Am Loolah

Our 15 year old got a job with this franchise when she was 14, and in my opinion has been a good, reliable employee. Gave up a lot of her Summer/Christmas hols to earn herself some dosh.

Originally her wages were paid in to our account, then she set up her own.

She took the details of her account written down on a bank slip to her employer and he copied them down. Incorrectly. For many weeks her wages were paid in to the wrong account. Unfortunately not a dormant one. She being 15 didn't check her account, as long as she could withdraw money what did she care, she is after all 15! Later it came to light what had happened, so she told her Boss.

He is now saying she gave him the wrong details and so it will cost HER $40 per request to get it repaid. She has a witness and he has nothing with her handwriting on it showing she'd made the mistake so we wrote a letter on Friday giving him 7 days to repay her in full or we'd seek legal action. The amount outstanding is over $1,000.

She came back from work on Friday evening with $560 cash and having been told he's going bankrupt on Monday.

It's such a shame for her, and there are many lessons to be learnt here, plus he's done the decent thing by giving her some cash in light of his situation.

But does anyone know whether it's worth our lodging what he owes her along with I guess numerous other creditors, should we still give him the letter, should we still pursue it? We'd already agreed we would reimburse her the difference at this point.

What should we do?

Wiz'n'Ton

Pursue it.

She has earnt the money. She is owed the money. If bankruptcy is filed, then at least she has a chance of recouping the money. As far as I am aware it should not cost you anything.

Better something than nothing, despite the best intentions of the owner! Are they sure it wan't paid into their own personal acct?! <dubious I know but I have seen it happen>

Good luck however it goes

Am Loolah

I thought we should, but it seemed a little unlikely she'd get anything.

Thanks sweetie.

TeamEmbo

Can you ask him for the details of the bank account he had paid the money into and which bank? Then approach that bank yourself and explain the situation to the manager? Surely he (the employer) could rectify this himself with the bank; afterall he must have the details written down somewhere or on a computer or something for the wages to be paid at all. If the money has genuinely been paid into someone else's account incorrectly surely they must have queried where the money had come from? Or maybe Wiz has a point - maybe it was paid into one of their own accounts and they just took advantage of your daughter, her being very young, new to the country, her first job and naive about these things.

I hope you get things sorted quickly. If not I'd definitely file as your daughter is owed the money and he must know it's his fault if he's already paid up over half the missing money (sounds fishy)

Am Loolah

Apparently the privacy law means we can't find out whose account it was paid in to and the bank can't tell us. Someone else told us they had fraudulently received the money and so we could get the police involved? Also he sends the wages info to a Payroll company to pay his employees, so we're having to deal with them too. Although it was them who told us he'd changed his story about who'd made the mistake.

It's a real bummer, she's been very upset, we've been angry and upset, and I STILL have sympathy for the boss losing everything?! What's wrong with me???

SavBlancGal

Try contacting the banking ombudsman - link below.

http://www.bankombudsman.org.nz/

Sure the bank can't give out personal details of anyone's account, but they could contact their customer and point out that the money has been credited to them incorrectly and it has to be returned... otherwise I see it as theft! And banks are quick enough to debit accounts 'at will' without consent if they make a mistake to get their money back.

You will probably still need to make a claim for the outstanding wages against the employer though. Is he declaring bankruptcy or going in liquidation? Find out which accountancy firm is handling the financial stuff and deal direct with them for your claim... but do everything in print, verbal is no record.