Caretakers to pay back Novopay overpayments

Two former caretakers at South Otago High School have been ordered to repay the school significant sums, resulting from a Novopay errors.

The board of the Balclutha school was seeking $11,224.05 from John Nicol and $2815.04 from his son Steven Nicol, the Employment Relations Authority (ERA) heard.

The Novopay error was from final payments made to the pair when they left their jobs more than two years ago.

However, the Nicols denied they were overpaid, and claimed they were owed money by the board, the authority said.

The ERA ruled against the Nicols, but the amount they had to pay back would be determined at a later date and in John Nicol's case following further investigation.

South Otago High School board of trustees chairman Brent Gardner said the board was happy with the decision, which he hoped signalled the end of what had been a frustrating issue for the school.

The fact the pair had been overpaid by Novopay exacerbated already existing problems, and the case would likely have ended up before the ERA anyway.

''It's a wee bit complicated, actually. There were some Novopay issues involved with it, but I couldn't put it all down to Novopay,'' he said.

He declined to say more while it was open for the Nicols to appeal.

John Nicol, contacted by the Otago Daily Times last night, declined to comment on the decision and would not say whether he would consider an appeal.

John Nicol was employed as a caretaker from 1997 until he left by mutual agreement in October 2012.

John supervised several staff, including his son, Steven Nicol, who was employed as a grounds labourer.

In 2009, after a long-running dispute with the board about his obligations and entitlements, John Nicol and the board entered into a binding record of settlement, the authority said.

John Nicol was owed 70 days of accumulated leave, and under the agreement it was decided that John Nicol would take 35 days of annual leave immediately, and receive a payment of $10,100 for the remaining 35 days, the authority said.

However, John Nicol told the authority that he believed the sum was paid to him as compensation for stress and he was entitled to payments for a further 35 days' annual leave.

The authority found errors had been made in John Nicol's pay as a result of the Novopay system.

The board said John Nicol was paid a final sum of $15,821 but should have been paid $4597. John Nicol claimed he was owed $34,896 by the board.

Steven Nicol's employment ended in September 2012 after he was made redundant, the board acknowledging it owed him $2193 redundancy pay. The board told the authority it withheld that amount, believing he was overpaid by Novopay.

The board said Steven Nicol was paid $5411, but was due only $403. Steven Nicol countered he was owed $3953.

Authority member David Appleton found John Nicol was overpaid and not entitled to an extra 35 days' leave. The amount he owed would be determined at a later date.

John Nicol was also not eligible for other entitlements he had argued were owed to him, Mr Appleton found.

Steven Nicol received an overpayment by a gross sum of $2138, Mr Appleton said. He ordered him to repay the ''net figure'' of that sum once it had been calculated by the school.

Costs were reserved.

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