Submitted by abb2b2test@gmail.com on Mon, 2011-06-13 09:20
Can I stop paying salary advances?
Question
I know that total deductions can’t exceed 25% of an employee’s basic salary.
A couple of my employees ask for salary advances every month, and this is an administrative nightmare. Can I put policies and procedures in place to stop this? Am I allowed to do so? What does the law state on advances on salaries and is there a limit to it?
Answer
Legislation doesn’t regulate the issue of salary advances.
Accordingly, you’re entitled to put your own policies in place to regulate the extent to which you’re willing to grant employees salary advances.
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