§ 27 — Authorised deductions

27.—(1) The following deductions may be made from the salary of an employee:(a)

deductions for absence from work;

(b)

deductions for damage to or loss of goods expressly entrusted to an employee for custody or for loss of money for which an employee is required to account, where the damage or loss is directly attributable to the employee’s neglect or default;

(c)

[Deleted by Act 55 of 2018]

(d)

deductions made with the employee’s written consent for house accommodation supplied by the employer;

(e)

deductions made with the employee’s written consent for such amenities and services supplied by the employer as the Commissioner may authorise;

(f)

any deduction for the recovery of any advance, loan or unearned employment benefit, or for the adjustment of any overpayment of salary;

(g)

[Deleted by Act 26 of 2013]

(h)

deductions of contributions payable by an employer on behalf of an employee under and in accordance with the provisions of the Central Provident Fund Act 1953;

(i)

any deduction (other than a deduction mentioned in paragraphs (a) to (h), (j) and (k)) made with the employee’s written consent;

(j)

deductions made with the employee’s written consent and paid by the employer to any cooperative society registered under any written law for the time being in force in respect of subscriptions, entrance fees, instalments of loans, interest and other dues payable by the employee to such society;

(k)

any other prescribed deductions.[26/2013; 55/2018]

(1A) An employee’s written consent for any deduction mentioned in subsection (1)(d), (e), (i) or (j) may be withdrawn by the employee giving written notice of the withdrawal to the employer at any time before the deduction is made.[55/2018]

(1B) An employee cannot be penalised for withdrawing a written consent for any deduction mentioned in subsection (1)(d), (e), (i) or (j).[55/2018]

(2) In subsection (1)(e), “services” does not include the supply of tools and raw materials required for the purposes of employment.

(3) In subsection (1)(f), “employment benefit” —(a)

means any benefit that an employee derives from being employed, other than salary; and

(b)

includes (but is not limited to) benefits such as the following:(i)

any annual leave in excess of the annual leave to which the employee is entitled under section 88A;

(ii)

any flexible employment benefit (such as an allowance that can be utilised, at the employee’s discretion, for any of certain purposes specified in the employee’s contract of service).[55/2018]

—(1) The following deductions may be made from the salary of an employee:(a)

deductions for absence from work;

(b)

deductions for damage to or loss of goods expressly entrusted to an employee for custody or for loss of money for which an employee is required to account, where the damage or loss is directly attributable to the employee’s neglect or default;

(c)

[Deleted by Act 55 of 2018]

(d)

deductions made with the employee’s written consent for house accommodation supplied by the employer;

(e)

deductions made with the employee’s written consent for such amenities and services supplied by the employer as the Commissioner may authorise;

(f)

any deduction for the recovery of any advance, loan or unearned employment benefit, or for the adjustment of any overpayment of salary;

(g)

[Deleted by Act 26 of 2013]

(h)

deductions of contributions payable by an employer on behalf of an employee under and in accordance with the provisions of the Central Provident Fund Act 1953;

(i)

any deduction (other than a deduction mentioned in paragraphs (a) to (h), (j) and (k)) made with the employee’s written consent;

(j)

deductions made with the employee’s written consent and paid by the employer to any cooperative society registered under any written law for the time being in force in respect of subscriptions, entrance fees, instalments of loans, interest and other dues payable by the employee to such society;

(k)

any other prescribed deductions.[26/2013; 55/2018]

(1A) An employee’s written consent for any deduction mentioned in subsection (1)(d), (e), (i) or (j) may be withdrawn by the employee giving written notice of the withdrawal to the employer at any time before the deduction is made.[55/2018]

(1B) An employee cannot be penalised for withdrawing a written consent for any deduction mentioned in subsection (1)(d), (e), (i) or (j).[55/2018]

(2) In subsection (1)(e), “services” does not include the supply of tools and raw materials required for the purposes of employment.

(3) In subsection (1)(f), “employment benefit” —(a)

means any benefit that an employee derives from being employed, other than salary; and

(b)

includes (but is not limited to) benefits such as the following:(i)

any annual leave in excess of the annual leave to which the employee is entitled under section 88A;

(ii)

any flexible employment benefit (such as an allowance that can be utilised, at the employee’s discretion, for any of certain purposes specified in the employee’s contract of service).[55/2018]