[read complete report – pdf]

Audit Objective 

Determine whether Town of Plymouth (Town) officials accurately recorded Highway Department (department) leave and properly paid separation payments.

Key Findings 

Officials did not accurately record department leave or properly pay separation payments. As a result, of the 14 employees we reviewed, officials overpaid 11 employees a total of $25,238 for one or more type of leave, as follows: 

• Ten employees were collectively paid $12,037 for 20 holidays that were not authorized in the Town’s collective bargaining agreements (CBAs).
• Seven employees were collectively paid $9,942 for 64.25 days of unearned vacation, sick or personal leave accruals.
• Upon leaving Town employment, two employees received compensation totaling $3,259 for 10 vacation days each that exceeded their earned, but unused, leave accruals.

Key Recommendations 

• Ensure employees are only paid for holidays listed in CBAs.
• Independently review and approve all unused leave and separation payments to ensure that accruals are accurately calculated, supported and disbursed, according to CBAs and the Town’s employee benefit plan.
• Consult with legal counsel about recovering payments that were inconsistent with CBAs or other applicable laws.

Town officials generally agreed with our recommendations and indicated they planned to initiate corrective action.