Your employer may be asked to deduct your salary: if your employment contract is terminated, the total deduction allowed may exceed 50% of your last payment. At the company level, enterprise agreements are concluded between employers and employees regarding the conditions of employment. It sets minimum conditions for employment and national employment standards are still in force. If an employer uses a registered contract, the premium does not apply. As an employer, the first step in adjusting an employee`s salary is to review the employee`s contract. The contract describes the employee`s salary, all benefits and the frequency of the pay slip. In this case, the worker cannot appeal to the labour tribunal, since the provisions of the Employment Rights Act 1996, which protect staff from illegitimate wage deductions, do not apply to the recovery of overpayments. Examples of an unauthorized wage deduction are: if you are subject to the Labour Act, your employer can only deduct your salary for certain reasons. If you have a work permit, your employer must also notify MOM before raising your salary or taking further deductions. You can file a contract infringement request if you feel you can`t fix the problem. However, they must do so within three months of the alleged wage deduction. It should be noted that any change in the amount of the deduction must be approved in writing by the worker.

It must indicate the amount of the deduction and can be revoked in writing by the worker at any time. The employee can also sign a consent form that allows them to do so, but this must be done before any deductions you make. And that means that if, for example, an employee makes a mistake during his working months, he should not be penalized with a wage deduction. If you continue, there are times when you can deduct wages. Three of them, to be exact (check Acas` illegitimate salary deductions for more information): And in most cases, your employee will usually get close to you if he thinks you owe them money. It is customary for the rights to leave wages to be deducted, remember that if you leave your company, you can claim a salary for public holidays not taken (as long as the employee has accumulated them). Your employer is under no circumstances entitled to deduct your wages for the following purposes, as stipulated in the Foreign Workers Labour Act: in light of the above procedure, you must comply with illegal wage deductions. If you commit one of them, it could end in an expensive labour tribunal. It may seem strange for an employee to agree, but companies often negotiate with a wage deduction on job security.