Question: May I deduct from an employee's final wages if he or she fails to return a uniform or equipment?
Answer: For many employers with relatively high turnover, the cost of providing new employees with uniforms or other equipment can be substantial. There are two primary means an employer may use to recoup the costs of such items. First, the employer may require a deposit when an employee is hired. When the employee leaves employment, the deposit need only be returned if the items are returned in good condition. Note, however, that the deposit should not be retained if the items merely show normal wear and tear. The major drawback to requiring deposits is that employers must maintain the deposits in a separate account, and must pay interest on the amount.
The second means for recouping the cost of uniforms or equipment is to deduct the cost from the employee's final paycheck. To use this method, the employee must give written consent to the deduction. This can be obtained at the time the uniform or equipment is issued. Note that the final paycheck cannot be reduced below the minimum wage for the number of hours worked by the employee in that pay period. Therefore, for an employee earning minimum wage, this option will not be available.
