When can an Employer make deductions from an employee’s wages?

In this article we consider some of the statutory limits surrounding the ability of an employer to make authorised deductions from an employee’s wages.

Employers need to be very careful when deciding to make deductions from an employee’s wages. Problems can arise when an employer deducts monies from an employee’s wages for reasons other than an employee's benefit, such as meeting shortfalls in cash and stocks, deducting the costs of a uniform, the costs of a mobile phone, the costs resulting from of a car accident.