Posted by Malcolm Gregory, Partner
Is it legal for restaurant owners to make deductions from the salaries of employees when customers leave without paying?
Under section 13(1) of the Employment Rights Act 1996 an employer may not make a deduction from an employee’s wages unless:
• It is required or authorised to be made by a statutory provision or a relevant provision in the employee’s contract, which covers things like tax and NI; or
• the employee has previously consented in writing to the deduction.