A number of deductions from a domestic worker’s remuneration are either permissible or prohibited in terms of the National Minimum Wage Act, the Basic Conditions of Employment Act or the sectoral determination applicable to domestic workers. These include:

  • deductions for loss / damage caused by a domestic worker (prohibited);
  • deductions for loan debt or advanced salary (permitted);
  • deductions for other debts specified in an agreement (permitted);
  • deductions required in terms of a court order or arbitration award (required);
  • deductions for payment towards funds of which the employee is a member (i.e. medical aid funds, pension funds, provident funds) (permitted);
  • deductions for the payments of a loan to a banking institution, building society, etc.  in respect of the payment of a loan granted to a domestic worker to acquire a dwelling (permitted); and
  • deductions in respect of trade union subscriptions (permitted).

For the reasons set out below, the implementation of the National Minimum Wage Act has created some uncertainty in relation to the issue of deductions when it is read together with the Basic Conditions of Employment Act and the sectoral determination applicable to domestic workers.

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