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Advice For Employers & HR Professionals

Can an employer make deductions from an employee’s salary when they are unable to return from holiday due to travel disruption or adverse weather?

Everyone you speak to recently seems to have come up against some sort of major disruption to their holiday/travel plans at some point, the most recent event being the air traffic control failure leading to thousands of cancelled flights and knock-on delays for travellers.

Disruption can be as a result of several unavoidable factors:-

  • Adverse weather conditions making it impossible for people to travel safely
  • Strikes – industrial action by public transport networks
  • Flight cancellations and delays

Some of the above delays can mean an employee is unable to return to work on time and often the delay being caused by something totally out of the employee’s hands or control.

In the absence of any clear policy to refer to, it can be difficult for both employer and employee to figure out the right (and fairest) response, and tensions can sometimes spiral into full blown disputes.  Any consideration of a deduction of wages should be approached with great care and as a last resort, particularly when the absence from work is genuinely unavoidable.

We would always recommend that an employer set out its position and expectations of staff faced with this situation in a written policy. It’s important to appreciate that this is not a one-size-fits all situation, flexibility and good communication will be key.  In any specific case, any one of the following options could be adopted:

  • Remote working;
  • Additional paid leave (if balances allow)
  • Unpaid leave;
  • Making time up at different point

Treating the absence as unauthorised and making a deduction from wages   Deductions from wages should only be made in exceptional cases; it can lead to resentment, abuse of sick leave and also possibly reputational harm for the employer.  It is also important to remember that  an employer  can only  deduct sums from employees’ wages lawfully when it is authorised to do so.  The employee can give the employer authority either by consenting to the deduction (in writing or verbally) or by signing a contract of employment which contains an express term conferring a more general power to make deductions in set circumstances.  Most contracts of employment will include this type of deductions clause, but it is worth double-checking your templates because if they don’t contain a deductions clause, and a deduction is then made, it will likely be unlawful and could result in a claim for constructive dismissal..

 

If you would like guidance in this area and/or a steer on how to introduce a policy suitable for your business  please contact us.

 

 

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