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Employment Law Solicitors - Deductions From Wages
 

 

Unlawful Deductions from Wages

Employment Law solicitors:

Unlawful Deductions from Wages

 

Under section 13 of The Employment Rights Act 1996, the only circumstances in which salary/wages deductions are permitted in law are where:-

  • They are provided for in the contract of employment

     

  • The employee agrees to the deduction in writing

     

  • They are required by statute (e.g. tax & national insurance)

     

  • To recover previous salary overpayments

     

  • The employee has participated in strike action

     

  • In consequence of disciplinary proceedings where those holding the proceedings have the power to order deductions under statute

     

  • To discharge a court order/tribunal judgement where written consent is provided by the employee

     

  • In retail work, where a cash shortage or stock deficiency comes to light within 12 months of it arising (and the first deduction is made within that 12 months), it is permissible to deduct up to 10% of the employees gross salary so long as it is not the employee’s final salary.

     

  • To pay third party’s specified amounts where written consent has been provided by the employee.

 

Should an employee have sustained an illegal salary/wages deduction, then they are entitled to bring a claim to tribunal within 3 months of the last deduction.
 

The Employment Law Solicitors, the brand, is part of Antrobus Solicitors, a firm regulated by the Solicitors Regulation Authority. Details of the professional rules which regulate solicitors can be found at the following website address: http://www.rules.sra.org.uk

 
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