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Salary Withold

Tue, 03 Jul 2007 10:26:23 AM  (Last updated: Tue, 03 Jul 2007 10:54:48 AM)


May i know is there any act saying that the Company can hold the employee's salary ? If yes, base on what grounds they can hold the salary.


KL Siew
Tue, 03 Jul 2007 10:54:48 AM

You can do it in accordance with the following Section of the EA:

24. Lawful deductions.

(2) It shall be lawful for an employer to make the following deductions:

(a)deductions to the extent of any overpayment of wages made during the immediately preceding three months from the month in which deductions are to be made, by the employer to the employee by the employers mistake;

(b) deductions for the indemnity due to the employer by the employee under section 13(1);

(c ) for the recovery of advances of wages made under section 22 provided no interest is charged on the advances; and

(d) authorized by any other written law.

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