Deductions due to Damages caused

Can my employer automatically deduct monies from my remuneration when damaged is caused to vehicles and/or loss of property and/or assets?

Sometimes we will be blessed with misfortune and cause damages to company vehicles and/or loss of property whereby we are issued with an acknowledgement of debt by the employer for the repayment of the damage without following the prescribed procedure in terms of clause 9.3 of the Mibco Main Agreement which determines that:

“In the event of damage to a vehicle, no employer shall deduct any excess amount incorporated in an insurance policy or damages from any employee who is required or permitted to drive a motor vehicle, nor shall any employer be permitted to deduct damages from any employee in the absence of insurance cover:

Provided that such excess amounts or damages may be deductible if a formal disciplinary hearing was conducted and the employee was found guilty of ‑

1. having driven the vehicle under the influence of alcohol or drugs; and/or
2. negligent driving; and/or
3. reckless driving; and/or
4. wilful damage to the vehicle; and/or
5. having driven the vehicle without the permission of the employer.

In the event of damage and/or loss to company property or assets (excluding motor vehicles), or the property of the customer, no employer shall deduct any excess amount incorporated in any insurance policy or damages from any employee, nor shall any employer be permitted to deduct damages from any employee in the absence of Insurance cover; Provided that such excess amounts or damages may be deductible if a formal disciplinary hearing was conducted and the employee was found guilty of wilful damage and/or gross negligence to company property or assets, or the property of a customer.”  

In a Nutshell: An employer is not allowed to deduct any monies from your salary for damages caused if no formal enquiry was held whereby you were found guilty as listed in point a – e above except if you have admitted guilt to the damages and consented to the deduction of the monies by signing an acknowledgement of debt.

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