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"Performance measurement & penalties"
Our employment contracts stipulate that if employees in the sales department do not meet their sales targets, their salaries are cut by a certain percentage. The contracts also state that if targets are exceeded, staff are entitled to increases. These contracts are fairly new, and this month i am needing to deduct money from the sales team for not meeting their targets. According to the BCEA, there is a clause that states that no monies can be deducted from employees without their consent in writing. Please could you confirm if this applies to us, or if we are excluded as their contracts are clear on their targets?
If you have such authorization to deduct included in the contract of employment and this is signed by the employee, you should be within your right to make such deduction. You would also need to have a discussion with the employee in this regard where the requirements of the rest of section 34 of the BCEA.
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