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Property Damage Policy at workplace

Discussion in 'Wage and Hour, Overtime' started by JdubYAH, Sep 16, 2010.

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  1. JdubYAH

    JdubYAH Law Topic Starter New Member

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    I received a document from my supervisor today and it states:

    Employee shall reimburse employer, its successors and assigns, from and against any and all property damage to vehicles, equipment and personal property owned or leased by the employer from or attributable to any and all acts of omissions of employee, as the case may be, reduced by any such liabilities, costs, damages, expenses and attorneys' fees compensated for by insurance purchased by employer. Employee agrees that said reimbursement shall eb deducted from employees paychecks on a weekly basis in such amounts as employer in its sole discretion determines, so long as the gross pay received by emplyee is not reduced below the federal minimum wage. Furthermore, employee shall hold harmless and indemnify employer, its successors and assigns, from and against any and all liabilities, costs, damages (other than property damage to employers vehicles, equipment and personal property) expenses and attorneys' fees resulting from or attributable to any and all acts and omissions of employee.

    By signing the statement, the named employee is agreeing to the above indemnification and reimbursement as a condition of employment, and the refusal to indemnify and reimburse said employer as set forth herein shall constitute grounds for disciplinary action up to and including termination of employment.

    What does this mean? I am at a loss. I am told if I weren't to sign, I would have to look for another job.
     
  2. Patricia_Young

    Patricia_Young New Member

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    I wouldn't lose my job over signing thisdocument. If you make even close to minimum wage, or the amount is large, it's not enforceable anyway, specifically the deduction from pay clause.
    http://www.dol.gov/whd/regs/compliance/whdfs16.pdf

    It's very likely also a violation of public policy.

    And start looking for a job where the employer realizes that accidents happen and they are a cost of doing business.
     
  3. JdubYAH

    JdubYAH Law Topic Starter New Member

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    I'm still confused. If I refuse to sign and they fire me for insubordination, I am out of unemployment compensation. I just don't know.
     
  4. Patricia_Young

    Patricia_Young New Member

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    That's why I recommend you sign it.
     
  5. FlaRiptide

    FlaRiptide New Member

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    If signing this bothers you, you may consider the purchase of E & O insurance. Depending upon your salary and situation it may or may not be worthy. Check it out though. Errors and Omissions insurance.

    This employer's action is similar to a retail's store placing signs that say "If you break it, you have bought it". The customer is made to feel responsible, though legally not. It is as Patricia said, a cost of doing business.
     

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