Public Service Payroll and Overpayment Recovery Policy

AuthorityCabinet Office
Date received2025-05-27
OutcomeSome information sent but not all held
Outcome date2025-06-17
Case ID4687306

Summary

The requester sought the official government policy on salary overpayment recovery and statistical data on employees asked to repay overpayments in the last five years. The Cabinet Office provided the policy document but withheld specific employee statistics citing an absolute exemption for personal data.

Key Facts

  • The request was received on 2025-05-27 and the response was issued on 2025-06-17.
  • The authority confirmed the existence of a policy requiring officers to repay full overpayment amounts even if caused by government error.
  • A copy of the 'recovery of overpayment of payroll payments' policy was attached as Annex 1.
  • Statistical data regarding the number of employees, monetary figures, and reasons for overpayments was withheld.
  • The withheld data covered the period from April 2020 to March 2025 across all departments including Manx Care.

Data Disclosed

  • 2025-05-27
  • 2025-06-17
  • April 2020 to March 2025
  • section 25(b)(ii)
  • Article 5
  • 5 pages
  • 2 documents

Exemptions Cited

  • Section 25(b)(ii) of the Freedom of Information Act 2015 (absolutely exempt personal information)
  • Article 5 of the General Data Protection Regulation (Data Protection (Application of GDPR) Order 2018)

Original Request

Dear Cabinet Office / Office of Human Resources, Under the Freedom of Information Act 2015, I would be grateful if you could provide the following: 1. A copy of the official government policy or guidance which states that: "All Officers must check their payslip for accuracy and notify the Payroll Section of any errors immediately. Where a salary overpayment has occurred, all Officers are under obligation to repay the full amount at the earliest opportunity and must agree the appropriate mechanism for recovery with the Payroll Section, even if the salary overpayment is by government's own mistake." 2. The total number of public service employees (across all departments) who have been asked to repay salary overpayments in the last five years. Please provide a breakdown by department, year, monetary figure, and reason for overpayment if available. 3. Any policy or guidance issued to departments regarding: - How overpayments caused by government or employer error should be handled; - Whether departments have the discretion to waive repayment in full or in part; - The appeals process or protections available to employees asked to repay significant sums. - Any documented reviews, discussions, or proposed reforms concerning this policy or practice since 2020. If any of the requested information is exempt under the Act, please provide the relevant section of the legislation you are relying upon. If you require clarification, please do not hesitate to contact me directly, so I might clarify or refine the request. Thank-you.

Data Tables (1)

Full Response Text

FOI 4687306 Annex 2 - Overpayments for all Departments (including Manx Care) but excluding all other statutory boards and offices for period April 2020 to March 2025

1

Government Office Douglas Isle of Man IM1 3PN Telephone: (+44) 01624 686244
Website: www.gov.im/co

Our ref: 4687306 26 June 2025

Dear ###

We write further to your request, received 27 May 2025, which states:

"Dear Cabinet Office / Office of Human Resources,

Under the Freedom of Information Act 2015, I would be grateful if you could provide the following:

  1. A copy of the official government policy or guidance which states that:

"All Officers must check their payslip for accuracy and notify the Payroll Section of any errors immediately. Where a salary overpayment has occurred, all Officers are under obligation to repay the full amount at the earliest opportunity and must agree the appropriate mechanism for recovery with the Payroll Section, even if the salary overpayment is by government's own mistake."

  1. The total number of public service employees (across all departments) who have been asked to repay salary overpayments in the last five years.

Please provide a breakdown by department, year, monetary figure, and reason for overpayment if available.

  1. Any policy or guidance issued to departments regarding:

  2. How overpayments caused by government or employer error should be handled;

  3. Whether departments have the discretion to waive repayment in full or in part;

  4. The appeals process or protections available to employees asked to repay significant sums.

  5. Any documented reviews, discussions, or proposed reforms concerning this policy or practice since 2020.

2

If any of the requested information is exempt under the Act, please provide the relevant section of the legislation you are relying upon.

If you require clarification, please do not hesitate to contact me directly, so I might clarify or refine the request.

Thank-you."

Our response to your request is as follows:

  1. A copy of the official government policy or guidance which states that:

"All Officers must check their payslip for accuracy and notify the Payroll Section of any errors immediately. Where a salary overpayment has occurred, all Officers are under obligation to repay the full amount at the earliest opportunity and must agree the appropriate mechanism for recovery with the Payroll Section, even if the salary overpayment is by government's own mistake."

Please find a copy of the policy for the recovery of overpayment of payroll payments attached at Annex 1.

  1. The total number of public service employees (across all departments) who have been asked to repay salary overpayments in the last five years.

Please provide a breakdown by department, year, monetary figure, and reason for overpayment if available.

While our aim is to provide information whenever possible, in this instance we are unable to provide some the information you have requested because it is absolutely exempt under section 25(b)(ii) of the Freedom of Information Act 2015 (absolutely exempt personal information). The reasons why that exemption applies are that: • The Cabinet Office is satisfied that the information amounts to personal data of which you are not the data subject; and • The Cabinet Office is satisfied that disclosure of the information would contravene one of the data protection principles as set out at Article 5 of the General Data Protection Regulation as it applies in the Isle of Man pursuant to the Data Protection (Application of GDPR) Order 2018, namely that the Cabinet Office can only disclose the information where it would be fair, lawful and meet one of the conditions for lawful processing in Article and in this case, none of those conditions have been met. The information provided in the table at Annex 2 relates to overpayments for all Departments including Manx Care but excluding all other Statutory Board and Offices recorded in the Office of Human Resources (OHR) between April 2020 and March 2025.

3 This table is split into responsibilities of either the Office of Human Resources (OHR) or the relevant Department, manager or individual. The row ‘Department, manager, individual’ therefore represents the number of instances where an overpayment has arisen due to the actions or oversights attributed to a specific Department, individual employee or manager.

Additionally, while our aim is to provide information whenever possible, in this instance the Cabinet Office does not hold some of the information that you have requested. The reason for overpayment is held however there are a number of reasons why overpayments occur. These include late notification of leaving, late notification of contractual changes, incorrect information provided to payroll and the reclamation of training expenses.

  1. Any policy or guidance issued to departments regarding:

  2. How overpayments caused by government or employer error should be handled;

  3. Whether departments have the discretion to waive repayment in full or in part;
  4. The appeals process or protections available to employees asked to repay significant sums.
  5. Any documented reviews, discussions, or proposed reforms concerning this policy or practice since 2020.

Details of the arrangements to recover overpayments are covered in the attached policy. Non recovery of overpayment is only considered in exceptional circumstances and will be agreed in conjunction with the Finance Officer/Accounting Officer for the relevant department.

The overpayment policy has been reviewed and a revised policy is currently awaiting approval for implementation. Further communications will be sent once the revised policy has been approved.

For further advice and assistance you may find it helpful to refer to the Employment Act 2006, section 21 (6) Restrictions on Deductions etc. which states that the provisions for restrictions on deductions does not apply to overpayments of salary. https://www.legislation.gov.im/cms/images/LEGISLATION/PRINCIPAL/2006/2006- 0021/2006-0021_19.pdf

You may also find it useful to refer to the Isle of Man Government Financial Regulations, specifically Financial Practice Note FPN E.01 Payroll Procedures, which states:

3.2. All Officers must check their payslip for accuracy and notify the Payroll Section of any errors immediately. Where a salary overpayment has occurred, all Officers are under obligation to repay the full amount at the earliest opportunity and must agree the appropriate mechanism for recovery with the Payroll Section, even if the salary overpayment is by Governments own mistake. https://www.gov.im/media/1388719/250519-financial-regulations-may-2025- final_compressed.pdf
4

Please quote the reference number 4687306 in any future communications.

Your right to request a review

If you are unhappy with this response to your freedom of information request, you may ask us to carry out an internal review of the response, by completing a complaint form and submitting it electronically or by delivery/post.

An electronic version of our complaint form can be found by going to our website at https://services.gov.im/freedom-of-information/Review . If you would like a paper version of our complaint form to be sent to you by post, please contact me and I will be happy to arrange for this. Your review request should explain why you are dissatisfied with this response, and should be made as soon as practicable. We will respond as soon as the review has been concluded.

If you are not satisfied with the result of the review, you then have the right to appeal to the Information Commissioner for a decision on; 1. Whether we have responded to your request for information in accordance with Part 2 of the Freedom of Information Act 2015; or 2. Whether we are justified in refusing to give you the information requested.
In response to an application for review, the Information Commissioner may, at any time, attempt to resolve a matter by negotiation, conciliation, mediation or another form of alternative dispute resolution and will have regard to any outcome of this in making any subsequent decision. More detailed information on your right to a review can be found on the Information Commissioner’s website at www.inforights.im. Should you have any queries concerning this letter, please do not hesitate to contact me. Further information about freedom of information requests can be found at www.gov.im/foi.

I will now close your request as of this date.