Are these payroll deductions legal?

Asked almost 2 years ago - Asheville, NC

My employer has a QC deduction list from which they deduct from our pay if there is an error. Example... If a signature is missing from a form or No Date/Incorrect Date, etc..

Alongside these are $ amounts of what is deducted. Example... IncorrectDate = -$5.

I am a W2 employee who gets paid salary + commission.

Thanks,
MM

Attorney answers (1)

  1. Answered . Deduction from pay are legal in some limited circumstances. I am including a link to the NC Department of Labor's Wage and Hour Division which has a FAQ that discusses deductions and when they are legal. Here is the portion that likely applies to your situation:

    "(3) N.C.G.S. §95-25.8(a)(3) - If the amount of a proposed deduction is NOT known in advance, the employer must have written authorization from the employee that is signed before the payday from which the deduction is to be made and that states the reason for the deduction. Prior to actually making a deduction, the employer is required to provide the employee with a WRITTEN NOTICE of the actual amount to be withheld and the employee must be informed in writing of his right to withdraw the authorization. The employee must inform the employer in WRITING if they want to withdraw their written authorization."

    Kirk J. Angel is an experienced North Carolina licensed attorney who focuses his practice on employment law. Mr.... more

Related Topics

Employee wages

Employee wages are set by the employer but must meet the federal or state minimum wage. Employers must withhold, report, and pay employment taxes.

Employee wages and payroll deductions

Payroll deductions are optional deductions from a paycheck for expenses facilitated by the employer, like health insurance, transit passes, or gym memberships.

Can't find what you're looking for? Ask a Lawyer

Get free answers from experienced attorneys.

 

Ask now

36,104 answers this week

3,853 attorneys answering

Ask a Lawyer

Get answers from top-rated lawyers.

  • It's FREE
  • It's easy
  • It's anonymous

36,104 answers this week

3,853 attorneys answering