Am I liable in a transactional finance job?

Discussion in 'The Chatterbox' started by venom0706, Mar 21, 2021.

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  1. venom0706

    venom0706 Guest

    I work for a large company in a Transactional Finance role (UK). My salary is a little above the minimum set one for the transactional finance sector.

    I pay the company's supplier invoices, reconcile the bank accounts and also do various ad-hoc payments on a daily basis for all kinds of stuff. Each of the payments I make, goes through approval from my manager before it goes out from the bank.

    My manager is really happy with my work ethic and says to keep up the good work. I always double and triple check the stuff I do. I come from a Business degree and not a Finance one, so dealing with money seems quite important thing to not mess up and be responsible about.

    However, I am very OCD in nature and constantly worry of making a mistake and getting sued because of it.

    What if a supplier cut ties with the company because of a mistake I made or pay something late? What if I pay something do the wrong bank account and we can't recover the funds lost? Can they take out of my personal savings if i mess something up?

    I re-read my contract and the only liability clause there, states that they can make salary deductions if the company suffers loss due to damage i've caused. I am, however, unsure if that means making a mistake at work (e.g making a payment wrong) or damage in terms of breaking equipment, etc.

    Is there any way they can take away money from my personal savings because of a job mistake i make or is it strict to salary deduction only?

    Many thanks in advance for any potential response.
     
  2. John Beeman

    John Beeman Little chicken in hot water

    Not sure how it works in the UK but in the US the only way an employer can charge you for errors is if you have signed a contract stating such.

    Which it sounds like you have done.
     
  3. venom0706

    venom0706 Guest

    I checked 5 contracts at home (previous jobs, including my gf's current accounting job and previous one) and the liability clause for damages is present in all of them. Which means it must be standard contract clause.

    Does the fact that I deal with payments, etc, however, changes anything and does it mean that they can take money from my personal savings if i mess something on the job? Or salary deductions and nothing else mentioned in the contract means it's salary deductions only? And would messing something in the position classify as causing damages or that strictly applies do damaging equipment, etc?
     
  4. Shaver X

    Shaver X Well-Known Member

    If your manager says you are doing good work, then why worry? If you are literally OCD, then the solution is a therapist. Otherwise, you will drive yourself nuts worrying needlessly.
     
    ischiapp and venom0706 like this.
  5. wristwatchb

    wristwatchb wristwatch "danger" b

    First of all, I commend you for striving to do your best.

    Secondly, I suggest having an honest conversation with your employer about your concerns and then documenting it. At one point during my career, I found myself in a similar situation. Such a conversation helped me though it. I once consulted a personal attorney over a separate matter at work. I received useful advice, but this option was costly and turned out to be unnecessary.

    Disclaimer: I'm located in the US, and things are different here.

    Hopefully, you will find meaning and enjoyment in your work and healthy ways to deal with worry and stress. :happy088:
     
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  6. gssixgun

    gssixgun At this point in time...

    Supporting Vendor
    This is tough for us to answer from the US :)

    I was a Finance Manager BUT I was Licensed, Bonded, and Insured so basically unless I committed Fraud and was charged with a crime I was NOT personally liable for monies.. I would have lost my job if I made too many mistakes of course..

    Being OCD in such a job is NOT a bad thing in fact many of us tend to gravitate that direction :)
     
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  7. BBS

    BBS Well-Known Member

    First off the company or any company can not take any money from your personal salary unless you give them express consent to do so. They'd have to sue you in that case for monies lost. Even then it would have to be for something criminal in nature like misappropriating funds for personal use. They got you on the other end with salary deduction, they just don't fire and sue but making you work at a reduced salary until the loss is paid up. I would surmise they would only sue in that case if you left the company first before settling up on the debt. What I would do in that case is make sure you have the appropriate person have it written into a contract how much you owe and salary reduction terms to settle just in case they try to screw you instead of the other way around.
     
    Last edited: Mar 22, 2021
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  8. BBS

    BBS Well-Known Member

    On the supplier issue, I would surmise if they cut terms it is going to be for other reasons besides an erroneous invoice. In the situation that happens if they try to deduct your salary, go talk to the supplier and ask them what their reason was. If it wasn't what your employer is claiming, tell them to stuff it and make sure the supplier is willing sign an affidavit stating what they told you. Either the employer will drop the issue or you get fired and sue for wrongful termination.

    As far as broken equipment, that is a shipping problem and unless someone dropped the ball an insurer is going to be reimbursing that cost.

    Wrong payments unless the supplier or customer is an a-hole you just adjust it as a credit on another invoice or do a separate one to fix the overage or undercharge. If you are worried about office politics you bury it somewhere where no one should look. If not tell the boss first, suggest solutions and let them be on record for dealing with it. As long as the books balance.
     
    Last edited: Mar 22, 2021
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  9. venom0706

    venom0706 Guest

    Thanks!

    What about paying an amount into an old bank account (e.g one of our suppliers or individual ad-hoc payee), but the payment doesn't bounce back (as someone didn't decide to refund it back) and upon calling the bank to re-call the money, I am not able to successfully resolve this (for whatever reason) and the company money remains lost?

    Is it on me that I didn't manage to resolve it with the bank? Can the company deduct from my salary for that lost money simply because I couldn't resolve it? I am quite sure there are more cases like this, but I literally can't resolve every single issue...

    And extreme scenario: Even if I noticed something like that and didn't raise with the bank or my manager, but "swept it under the carpet" because I didn't want to deal with it (e.g calling the bank, spending time investigating, etc) can I then be liable for causing damages due to negligence?

    This is literally my worst fear, as I am quite sure that through my employment, I will encounter a lot of situations like this. I just want to know if I can get into trouble if willingly I noticed payment that went god knows where, but didn't tell anyone or managed to resolve it.
     
    Last edited by a moderator: Mar 22, 2021
  10. BBS

    BBS Well-Known Member

    First part I would assume the company if they are large enough have some sort of insurance in place to pay out in that situation but it would be best to ask someone where you work first and if they don't discuss it with the boss about setting something up.

    http://insurance-companies.co/credit-insurance-companies/

    If they are a big enough company and won't take out credit insurance maybe you should start shopping your resume for a new job.

    Secondly you always tell someone the second you notice something is awry and usually through email so there is a record that you did notify someone higher up. Just make sure to flag it as high priority and make sure it has a read receipt on it. Don't add people higher up than you need to go like above your boss' head in the email. Being overzealous to the point it looks like you are stepping on toes or trying to make your superior's look bad is a quick way to get yourself fired or for them to deduct it from you anyways even if they shouldn't.
     
  11. MariamWQ

    MariamWQ New Member

    I don’t believe they have the legal grounds to take out of your personal savings.
     
  12. PLANofMAN

    PLANofMAN Eccentric Razor Collector Staff Member

    Moderator Article Team
    r/LegalAdviceUK on reddit is where you should be asking this. :)
     
    brit likes this.
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