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Wages Protection Act 1983

5: Deductions with worker's consent

You could also call this:

"Your employer can take money from your wages if you agree in writing."

Illustration for Wages Protection Act 1983

If you are a worker, your employer can take money out of your wages for a good reason if you agree to it in writing. You can agree to this in your employment agreement or you can ask your employer to take the money out in a written request. Your employer must not take money out of your wages without talking to you first, even if you agreed to it in your employment agreement.

You can change your mind or stop the agreement at any time by telling your employer in writing. Your employer must then stop taking the money out of your wages as soon as possible, or within two weeks if they can.

Your employer has to follow these rules when taking money out of your wages with your consent, as stated in the Wages Protection Act 1983 and amended by the Wages Protection Amendment Act 2016.

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This page was last updated on

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM74833.

Topics:
Work and jobs > Worker rights
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4: No deductions from wages except in accordance with Act, or

"Your employer can't take money from your wages unless the law allows it"

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5A: Unreasonable deductions, or

"Don't take unfair money from workers' wages"

5Deductions with worker's consent

  1. An employer may, for a lawful purpose, make deductions from wages payable to a worker—

  2. with the written consent of the worker (including consent in a general deductions clause in the worker’s employment agreement); or
    1. on the written request of the worker.

      1. An employer must not make a specific deduction in accordance with a general deductions clause in a worker’s employment agreement without first consulting the worker.

      2. A worker may vary or withdraw a consent given or request made by that worker for the making of deductions from that worker's wages, by giving the employer written notice to that effect; and in that case, that employer shall—

      3. within 2 weeks of receiving that notice, if practicable; and
        1. as soon as is practicable, in every other case,—
            1. cease making or vary, as the case requires, the deductions concerned.

          Compare
          • 1964 No 58 ss 7(1), 9
          Notes
          • Section 5(1): replaced, on , by section 6(1) of the Wages Protection Amendment Act 2016 (2016 No 12).
          • Section 5(1A): inserted, on , by section 6(2) of the Wages Protection Amendment Act 2016 (2016 No 12).