Deduct from last paycheck non-returned company property
Bethgg
4 Posts
We want to add a page with signature required to our Employee Manual stating we will deduct $xx.xx amount of dollars from previous employees last paycheck for failing to return keys issued. If the keys are not returned, we are forced to change the locks, and distribute new keys to all parties. Can we legally do this?
OR, have a separate document not part of the handbook?
OR, have a separate document not part of the handbook?
Comments
Welcome to the forum! Here in Oregon, you could not make the kind of deduction you are proposing. Generally, deductions from paychecks must be for the employee's benefit.
I checked your state of Delaware (the first state) and found similar restrictions for deducting for lost or unreturned property, damage, inventory shortages, etc.
Here is the link: [url]http://www.delawareworks.com/industrialaffairs/services/LaborLawEnforcementInfo.shtml#ll7[/url]
I think you can legally tell an employee "I have your final paycheck in my office. When you come by to pick it up, could you bring in all of your keys, company laptop, etc."
However, if the employee doesnt bring in the keys or equipment, you still have to give the paycheck.
I also called the Delaware DOL - they stated if I don't deduct from paycheck but have a separate document employee signs upon hire, we can either have them return company property, or pay a fee and be able to turn it over the collections.
Thanks again,
Beth
This has worked for us and we have never been challenge by an x-employee. I would ready to cave-in on this process, when faced by a very strong x-employee, who has some reasonable excuse or response to his/her signed document where the ee has alread agreed to your company procedures.
This is one that you will need legal advise for your state.
PORK
Be forewarned - depending on your culture and relationship between the "grunts" and management, your current employees may need some talking to and explaining on this. Plan it carefully if you proceed.
"An employer may deduct, withhold, or divert a portion of an employee's wages only when the employer is required to or may do so by state or federal law or by order of a court of competent jurisdiction or the employer has written agreement with the employee to deduct, withhold, or divert."
So it would appear (if I have found the correct information) that Nebraska sets no limitations on employee deductions other than to require authorization from the employee.
That is not the case in Oregon and apparently not the case for Delaware.
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