Are deductions from wages allowed under employment contracts?

Yes, deductions from wages are allowed under employment contracts in Washington, but only under certain conditions. Washington law requires that the deduction be reasonable and not be more than the employee’s wages. It also requires that the employee give written consent to the deduction. The deduction must be for a specific purpose, which can include taxes, insurance premiums, repayment of a loan, or to cover a service charge. Employers are not allowed to take deductions from an employee’s pay to cover damage to property or lost equipment. In addition to the requirements outlined above, any deductions from wages must also comply with the Fair Labor Standards Act (FLSA). This federal law regulates how and when employers can deduct from employees’ paychecks. It prohibits employers from making deductions that would bring the employee’s wages below the minimum wage required. It also requires employers to pay employees overtime if they work more than 40 hours per week. In Washington, employers must make sure that any deducting from wages complies with all applicable laws. It is also important to note that employers must give employees an itemized statement each pay period showing the amount of any deduction from their wages. Employers are also obligated to provide employees with explanations for any deductions taken from their pay. Failure to meet any of these requirements may result in a violation of the law.

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