From 30 December 2023, employees will be able to authorise salary deductions made by their employer that are:

  • recurring
  • for amounts that vary from time to time.

This means an employee can make a single written authorisation that allows their employer to deduct amounts from their salary even where the deduction amount may vary from year to year. It can be withdrawn by the employee in writing at any time.

At the moment, a new written authorisation between an employee and employer has to be made if a deduction amount changes.

Employees can also continue to allow deductions for specific amounts only. These types of deductions need to be:

  • principally for the employee’s benefit
  • in writing.

For more information you can download the Department of Employment and Workplace Relations’ fact sheet, Employee authorised deductions.

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