Tim Davie, the director-general of the BBC, has stated he will “look at all options” to recover pay from newsreader and presenter Huw Edwards, who recently pleaded guilty to accessing indecent photos of children.
Davie acknowledged in an interview with BBC News on 1 August that reclaiming employee pay is “very difficult to claw back, nigh on impossible” and “legally challenging,” but affirmed his intention to explore all available avenues.
Under current rules, employers can lawfully reclaim sums paid to employees, but only if the employment contract includes a specific clause allowing this. Contracts often mention deductions for overpaid wages or for lost or damaged company property. There might also be a clause for recovering part of a sign-on bonus if an employee leaves within a specified period.
Edwards was arrested in November 2023 and resigned from the BBC in April 2024, citing medical issues. Before his resignation, Edwards earned over £479,999, according to the BBC’s annual report, reflecting a £40,000 increase from the previous year.
Davie’s comments came in response to concerns raised by Culture Secretary Lisa Nandy about safeguarding at the BBC and the management of UK taxpayer money. The UK public currently pays £169.50 annually for the BBC licence fee.
Employers might also be able to reclaim pay in exceptional circumstances if a settlement agreement is in place. As such, unless Huw Edwards left under a settlement agreement with clauses for repayment if certain matters come to light, opportunities to recover payments made during employment are minimal.
An alternative course of action could see the BBC might rely on breaches of warranty when attempting to reclaim Edwards’ pay.
In some circumstances, the employer may have a right to reclaim monies paid to an employee are where the employee has misrepresented facts, leading to certain payments, or where an employee breaches a warranty in a settlement agreement. This includes scenarios where the employee is unaware of any circumstances that would entitle the employer to terminate employment immediately.
While the BBC faces severe pressure due to Huw Edwards’ high salary and public revulsion over his crimes, moral outrage does not influence the law, and BBC executives may struggle to find a legally sound reason to reclaim pay. It is not possible to arbitrarily claw back money paid to an employee without a properly drafted contractual clause, and any attempt to do so may expose the organisation to legal challenges.
Author
Gill Laing is a qualified Legal Researcher & Analyst with niche specialisms in Law, Tax, Human Resources, Immigration & Employment Law.
Gill is a Multiple Business Owner and the Managing Director of Prof Services Limited - a Marketing & Content Agency for the Professional Services Sector.
