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Are you owed wages, bonus or commission?

15 October 2013

In 2012, 71,300 claims for unauthorised deductions were brought in front of the employment tribunal, the second most common claim brought by employees.

The most common examples of unlawful deductions made by employers are:

bonuses – if the amount of an unpaid bonus can be quantified, then an employee can claim it as an unlawful deduction;

underpayment of commission – if the employee is paid less commission than is due, this may be an unlawful deduction;

tips – if a worker is entitled to tips (or part of a “tronc”), which are not paid, it is possible to bring a claim;

holiday pay – a failure to pay outstanding holiday pay when the employment terminates has been held to be a deduction from wages;

late payment of wages – this may lead to a claim;

reduction in pay– if the employer reduces pay and does not have the contractual right to do so or has not obtained the employee’s agreement, the shortfall will be an unlawful deduction; and

pay rises – conversely, if the employer promotes an employee or agrees an annual pay rise then fails to implement the new rate of pay, this will be an unlawful deduction.

If you believe you have suffered an unlawful deduction from wages, the first step is to take up the matter with your manager or the HR/payroll department. If this does not resolve the matter satisfactorily, then you may be entitled to make a claim.

For advice from Myers & Co Solicitors, based in Stoke-on-Trent, Staffordshire, contact our employment law specialist Sarah Everton by calling 01782 525012 or email sarah.everton@myerssolicitors.co.uk.

 

The contents of this article are for the purposes of general awareness only.  They do not purport to constitute legal or professional advice.  The law may have changed since this article was published.  Readers should not act on the basis of the information included and should take appropriate professional advice upon their own particular circumstances.

 

Sarah Everton

DDI: 01782 525012

E: sarah.everton@myerssolicitors.co.uk



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