Worker lost $700: Can we make him pay it back?

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in Compensation and Benefits,Employment Law,Human Resources

Q. One of our employees ran an errand for us to pick up $700 in cash. He says he lost it. Can we make him pay it back? — C.F., Florida

A. How do you handle other lost company property? You should follow the same procedure for the lost cash. There is nothing wrong with asking the employee to pay it back.

However, in many states, you cannot deduct it from his wages or fire or threaten to fire him unless he pays it back. If your attorneys tell you that wage deductions for lost property are legal in Florida, you must still make sure the employee’s pay does not fall below minimum wage after the deduction. That runs afoul of the federal Fair Labor Standards Act.

I sense that underlying your question may be discomfort over this “lost” cash. Maybe you’re questioning whether it was, in fact, lost. You may want to question the employee carefully and conduct a workplace investigation, especially if you’ve experienced other incidents of disappearing company property.

If you think he may have stolen the money, you could also contact the police, who may investigate the matter. In that situation, you need to be careful about claims of false arrest or malicious prosecution. It is best to just present them with the facts and let them decide how to proceed. Don’t make any public accusations that may cause a defamation lawsuit.

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