# 2022-321 Pay and Benefits, Pay, Recovery of Overpayment, Recovery of Overpayment/Debt Write-Off

Case summary

F&R Date: 2024-03-08

Owing to an administrative error on the part of the Canadian Armed Forces (CAF), the grievor was overpaid for more than 10 years. When the error was identified and corrected, a recovery action totalling several thousand dollars was implemented. The grievor disputed the CAF's decision to recover the overpayment on the basis that he was not responsible for the error.  

The Initial Authority, the Director General Compensation and Benefits, declared that the portion of the debt that exceeded the six-year prescription and limitation could be cancelled, in accordance with section 32 of the Crown Liability and Proceedings Act. The grievor nevertheless requested that his grievance be referred to the Final Authority (FA) so that the entire debt could be cancelled.  

During the review of the grievance, the Director Military Pay and Allowances Processing informed the Committee that the grievor had already reimbursed over 90% of the debt. Consequently, the Committee assessed whether the debt could be cancelled in accordance with the terms and conditions provided for in the Financial Administration Act. The Committee determined that the overpayments dating back more than six years after the implementation of corrective measures may no longer be recovered. The Committee also found that the responsibility for the error should have been shared between the CAF and the grievor. On the one hand, CAF pay staff are responsible for preventing overpayments as much as possible and, in the event of an error, for quickly taking corrective measures to limit the impact on members. On the other hand, each member is responsible for knowing their pay rate and ensuring that their pay corresponds to what they are entitled to.  

The Committee recommended that the FA prepare a submission to the Governor in Council for the remission of the remaining amount of the debt to the grievor.