Common use of Underpayment and Overpayment Clause in Contracts

Underpayment and Overpayment. 15.1 The following process will apply once the issue of underpayment or overpayment is substantiated. 15.2 If the amount underpaid is equal to or greater than one (1) day’s Salary for the Employee, the underpayment will be rectified within three (3) working days. 15.3 If the amount underpaid is less than one (1) day’s Salary it will be rectified by no later than the next normal pay. However if the Employee can demonstrate that rectification in this manner would result in undue hardship every effort will be made by the Employer to rectify the underpayment within three (3) working days.