Last year, Huw Edwards received a suspended prison sentence after pleading guilty to accessing indecent images of children. Following his guilty plea, the BBC requested that he return the salary paid to him between his November 2023 arrest and his April 2024 resignation. While this wasn’t an overpayment of wages, BBC chair Dr Samir Shah believes it’s the right thing to do, given “he knew what he had done.”
Below, we discuss the BBC-Huw Edwards situation and whether employers can reclaim overpaid wages. We further examine the employer’s potential next steps if an employee refuses to pay wages back.
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Huw Edwards Refuses to Repay £200K BBC Salary
In 2023, Edwards was suspended from his BBC role after being arrested on suspicion of serious criminal charges. He subsequently pleaded guilty to making indecent images of children in 2024. However, between his suspension and guilty plea, the former newsreader was paid £200,000 in public licence fee payers’ money.
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When Edwards pleaded guilty, the BBC requested he return the wages he had been paid during that time. Although this wasn’t technically an overpayment of wages, the broadcaster argued that Edwards knew he was guilty and, had it been aware of his guilt at the time, it wouldn’t have paid him. Consequently, Shah told the House of Commons Culture, Media, and Sport Committee, “He knew what he’d done and should return it [the £200,000] now.”
Despite the BBC’s requests, Edwards has refused to return his salary. This has led to frustration from the broadcaster and left questions like “Is an employee like Edwards legally required to repay their wages?” and, if so, “How do employers get the money back?”
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Why the Broadcaster is Powerless
Unfortunately, the BBC is in a difficult spot regarding Edwards’ case. The broadcaster’s director-general, Tim Davie, explained that legal advice had been sought, but no clear legal route was available to recoup the money.
This is because employers are generally only entitled to reclaim wages when an employee has been paid too much. But this doesn’t appear to be the case for Edwards. While suspended, it seems he simply received his salary since suspension with pay is more common, especially during investigations.
Unless the BBC had an express contractual provision enabling them to claw back his wages, the broadcaster cannot lawfully do so. Given the director-general’s admission, it appears no such provision was in place. Although this isn’t a case of overpayment of wages, it raises similar questions about when employers can reclaim money from employees—especially in cases of misconduct.
Overpayment of Wages: How do I Get Money Back From an Employee?
Clawback Clauses: How Employers Can Protect Their Pay
Edwards’ case may cause employers some concern, but they shouldn’t worry. Carefully devised contractual provisions that allow employers to claw back wages can potentially avoid such incidents. Crucially, though, these clauses mustn’t be seen as punitive and should only be applied in cases of serious wrongdoing.
Moreover, if an employer were to introduce such a clause, it must be:
- Expressly written in the contract
- Clear and specific
- Reasonable and proportionate
- Agreed upon at the start of employment
That said, such provisions are rare because of their potentially punitive nature. If a clawback clause is introduced incorrectly, it could be deemed unenforceable, and the employer could face legal repercussions. As such, if an employer wants to introduce one, it’s wise to seek legal advice before doing so.
Recovering Wages Overpaid by Employer
The good news for employers is that cases like Edwards’ aren’t the norm. Generally, when an employer wants to recover money, it’s because there’s been an overpayment of wages; And while the Employment Rights Act 1996 prevents unlawful deductions from wages, the ability to recover overpaid wages is set out as a clear exception.
Most of the time, if an employee has been overpaid by their employer, this will be reclaimed through future deductions. Depending on the circumstances, the amount could be deducted in one lump sum or over a series of instalments. In practice, when an employer looks to reclaim overpaid wages, it will likely:
- Identify the overpayment of wages, understand why it has come about and the possible actions it can take.
- Notify the employee in writing that they’ve been paid too much, outlining the issue at hand.
- Come to an agreement with the employee about how to resolve the mistake, and have both parties sign a document stating their agreement.
- Make deductions from wages per the signed agreement until the overpaid amount is repaid.
- Request a repayment if the individual is no longer employed. If the employee refuses, the employer may consider legal action.
Although not technically an overpayment of wages, point five is the situation the BBC faces with Edwards. While the broadcaster has pursued repayment requests, experts suggest it has no contractual basis for legal action.
Unsuccessful Recovery of Overpayment of Wages? What to do Next
If an employee refuses to return overpaid wages, what their employer does next will depend on the circumstances.
Can an Overpayment be Written Off?
The overpayment of wages can be written off at the discretion of employers. This may occur if, for example, an employee genuinely believes they are entitled to the wages and spends them in good faith, like to pay off existing debts.
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In the case of Huw Edwards, it seems unlikely that the BBC would write off the overpayment. The corporation has already stated that it’s pursuing repayment, and Edwards’ refusal to cooperate has led to frustration.
Recovering Overpayment of Wages: Legal and Practical Options
More often than not, employers won’t write off an overpayment an employee is refusing to repay and will have several options available to them. Employers could first consider civil legal action by taking the employee to court. However, they must weigh the legal costs against the amount owed—if fees exceed the debt, this may not be a viable option.
At this moment in time, it appears the BBC is considering all possible options, but legal action may be difficult. An alternative route they and other employers may consider includes hiring a debt collection agency. While this can sometimes be a more efficient way to recover overpaid wages, it can involve additional fees.
For many, though, the best option is to try and reach a settlement agreement. This can avoid the stresses of court action or the costs of hiring a third party and help ensure both sides walk away with an arrangement they’re happy with. A settlement could include negotiating a payment plan or agreeing to write off part of the debt in exchange for the remainder being paid back.
Ultimately, how an employer decides to proceed is up to them, but it’s worth considering all options and seeking legal advice to ensure they make the best possible decision.
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