Only in limited, lawful circumstances. Under the Basic Conditions of Employment Act you may deduct UIF and amounts required or permitted by law or a court order, and you may make other deductions only with the worker's written consent. Deductions for loss or damage need a written agreement and a fair process first, and are commonly capped at around 25% of remuneration. A loan or advance is usually repaid at a guideline of about 10% of the wage due per payday. You may deduct pay for unpaid absence, but you cannot fine a worker or deduct as punishment.
The general rule (BCEA s34)
Section 34 of the BCEA is strict: an employer may only deduct from a worker's pay if the deduction is required or permitted by law, a court order or an arbitration award (UIF is the obvious example), or if the worker has agreed to it in writing for a specific debt. You cannot help yourself to a deduction just because you feel the worker owes you — without lawful grounds or written consent, it is unlawful.
Deducting for loss or damage (breakages)
If a worker breaks or loses something, you cannot simply dock their pay. The BCEA requires that the loss or damage happened in the course of employment and was due to the worker's fault, that you followed a fair procedure and gave the worker a chance to respond, that the worker agreed in writing, and that the deduction does not exceed the actual loss. A commonly cited limit is that such a deduction should not exceed about 25% of the worker's remuneration in a pay period. This is a compliance tool, not legal advice — get the agreement in writing first.
Loans and advances
If you lend money to your worker or pay an advance, you can recover it from future wages with their written agreement. The sectoral guideline is to recover no more than about 10% of the wage due on a single payday, so the repayment doesn't leave them with too little to live on. You can agree a different, larger repayment in writing where it's appropriate — but a deduction can never take net pay below zero.
Deducting for absence and what you may NOT deduct
If a worker is absent and has no paid leave to cover it, you may simply not pay for the days not worked — that is a no-work-no-pay reduction, not a penalty. What you may not do is impose a fine, deduct extra as punishment, or deduct for things that are properly your cost as the employer (such as breakages outside the worker's fault, or the cost of tools and uniforms). Every deduction must appear on the payslip.
Frequently asked questions
Can I deduct money for something my domestic worker broke?
Only after a fair process, where the loss was the worker's fault and happened at work, with the worker's written agreement, and not exceeding the actual loss — commonly capped at about 25% of remuneration. You cannot dock pay automatically for a breakage.
Can I deduct a loan repayment from my domestic worker's wages?
Yes, with written agreement. The guideline is to recover no more than about 10% of the wage due per payday, though you can agree more in writing. A deduction can never take net pay below zero.
Can I dock pay when my domestic worker is absent?
If they have no paid leave left to cover the day, you can apply no-work-no-pay for the days not worked. But you cannot fine them or deduct extra as a punishment.
Do I need written consent for deductions?
Yes — apart from deductions required by law (like UIF) or a court order, any deduction needs the worker's written consent for a specific amount or debt. And every deduction must be itemised on the payslip.
Dignita is a compliance tool, not legal advice. Figures are based on current South African legislation; confirm with a labour-law professional for your situation.