Mqondisi* almost never looks at her payslip, but this time she did, and what she found left her confused and angry. Her employer has been making deductions from her salary every month. Why is he taking money from her and not letting her know what it’s for?! AZIKHIPHI! That’s not on! Scorpion Legal Protection discusses what the law says about this and how salary deductions work.
Scorpion Legal Protection’s advice
Section 34(1) of the Basic Conditions of Employment Act (BCEA) says that an employer is not allowed to make deductions from an employee’s remuneration/salary without one of the following:
- The consent of the employee
- Deductions are required/permitted by law, for example UIF and PAYE
- A collective agreement, arbitration award or court order
The BCEA also states that certain deductions are not allowed. These include fines that an employer gives to an employee for an alleged act of misconduct where the purpose is to punish the employee; and loss or damages when an employee has not consented to it because they do not believe they are liable or they dispute the amount.
The most important thing to remember when it comes to deductions from your salary is that you have to give consent for your employer to deduct anything that isn’t government required tax or a valid garnishee order. A garnishee order is a court order that is served by the sheriff of the court on the employer, ordering the employer to make deductions from an employee’s salary or wages to settle a debt which the employee owes. A specific amount of money is deducted from the employee’s salary each time the employee is paid until the debt is paid up.
Mqondisi’s employer must tell her what the deductions are for. If she thinks her employer is making unlawful deductions, Mqondisi has to lodge a complaint with a labour inspector at the Department of Labour (DOL) within 6 months of the date on which the deductions began. The complaint will be investigated and her employer will be contacted by the inspector. If the department finds that Mqondisi’s employer owes her money, the inspector will issue her employer with a compliance order to pay this money by a certain date. If her employer still fails to adhere to the inspector’s instruction, the matter will be referred to Labour Court for prosecution.
Tips:
- If in doubt, speak to your employer or the HR department first to find out what’s going on. There may be a simple explanation.
- Certain deductions must be made from your salary by law – like UIF, PAYE, and court-awarded orders where you must pay back a debt.
- If you agree to it in writing, other deductions can be made from your salary, for example, union subscriptions, medical aid, pension/provident fund.
If you have a query, follow us on our Facebook page and ask your question during our next Live Q&A (every first Thursday of the month).
* This is only basic advice and cannot be relied on solely. Names have been changed to protect identity.