Deductions From Wages

Can my employer deduct money from my wages? Making a complaint
(Updated 15 July 2006)

Before making a complaint, check carefully whether or not your employer is entitled to make the deduction that you are concerned about. In particular, you should look to see if there is a provision in your terms and conditions of employment that allows your employer to make the deduction. Such a provision might appear in

  • the "written statement of employment particulars" (commonly but inaccurately known as your "contract") that you should have been given shortly after starting your job,

  • a staff handbook, or

  • a collective agreement made between your employer and a trade union.

If there is a specific written contractual provision that allows your employer to make the deduction, the deduction is lawful.

If you still believe that a deduction was unlawful, unless it is one of the exempt deductions listed above, you are entitled to make a complaint to an employment tribunal. Before making a complaint, you must have followed closely your employer's grievance procedure, including making an appeal if your employer does not accept your grievance. If you have not followed each relevant stage of the grievance procedure, the employment tribunal may decline to consider your complaint.

A complaint to an employment tribunal must be made within three months of the date that the deduction was made or within three months of the last of a series of deductions, unless it was not reasonably practicable for it to be made within that period of time. You do not have to have worked for the employer for a minimum period of time, and you do not have to be under a certain age. An employment tribunal may not award more than the amount of the deduction(s).

If you are aggrieved about a deduction that is one of the exempt deductions listed above, you cannot make a complaint to an employment tribunal. A tribunal will refuse to hear any case that is brought for one of the exempt deductions, even if your complaint is not against the fact of the deduction but, for example, against the manner in which the deduction was handled.

Your only recourse in the case of an exempt deduction is to sue your employer in the civil courts, e.g. the small claims court. You should take proper advice before taking such action, e.g. by visiting your local Citizen's Advice Bureau (CAB). Information about the advice services offered by CAB are available at http://www.citizensadvice.org.uk

More Information:

If this explanation does not answer your question and you cannot find the answer to your question by doing a search elsewhere in PayPerShop, please click here and explain what it is that you still do not understand.

Is there another question you would like to see answered in PayPerShop? If so, please click here and send us your question.




More FAQs Related to Deductions from Wages:


Can my employer recover an overpayment of wages from my next/future wages?
Can my employer deduct holiday pay from my final wages?

Return to Payroll & HR FAQs Home Page








Payroll & Human Resources - PayPerShop Logo For Payroll and Human Resource Professionals

UK Payroll & HR US Tax Resources Worldwide Payroll & HR
Google
Home Contact

Copyright © 2006 PayPerShop Ltd - Payroll, Human Resources (HR) & Payroll Taxes


Popular UK Pages:
UK Payroll News Categories | Payroll & HR Events - Photos | Payroll | UK Payroll Software A-Z | Payroll Software Downloads | Payroll Question | Payroll Search / Swicki | Deductions From Wages | UK Holiday Pay | National Insurance Numbers | Tax Codes | Employed or Self-Employed | Data Protection | Identity Fraud | BACS Payment - BACSTEL-IP

Popular US Pages:
US Payroll Software A-Z | Income Tax Withholding | Prevailing Wages and Hours | US Minimum Wage | US Workers' Compensation | US Labor Standards | US Unemployment Insurance | US State Holidays / Legal Holidays