An oldie but a goody: I’ve been told over the years that a company cannot legally deduct a fine (for breaking contract, for example) from your salary, that you must pay it yourself, or face Johnny Cochrain in a courtroom.
Is this still the case? And here’s the real challenge - can you point me to the actual law where that’s written? I doubt that even a gov’t official could. . . but if you’re up for the challenge.
thanks!
A challenge! I’ll take a look. It would be the Employment Act if I remember right, it’s up in English on CLA website or somewhere
[quote=“Rupert”]An oldie but a goody: I’ve been told over the years that a company cannot legally deduct a fine (for breaking contract, for example) from your salary, that you must pay it yourself, or face Johnny Cochrain in a courtroom.
Is this still the case? And here’s the real challenge - can you point me to the actual law where that’s written? I doubt that even a gov’t official could. . . but if you’re up for the challenge.
thanks![/quote]
That’s funny you asked that question, because I came across that article of the LSA a while ago, and wasn’t sure if I was understanding it right…
Is this what you’re looking for: http://laws.cla.gov.tw/eng/flaw/FLAWDOC01.asp?lsid=FL014930&lno=26
Article 26 from the Labor Standards Act, that you can read in full there: http://laws.cla.gov.tw/eng/flaw/flawdat0201.asp?lsid=FL014930
Wow, challenge met! Double-G, thank you. I’m gonna have so much fun quoting that to this goofball I’m working for when he threatens to take 10k from my salary.
Maybe you’ll have even more fun quoting Article 78 then! 
If it’s not too personal, what’s the motive of the fine they want to charge you for? I’m also kind of into a conflict with my current employer, about fines, so I’m quite interested in others’ experiences.
I want to quit my job and I don’t want to pay 10k for it.
my employer took 10k from my last paycheck in case I do leave before I finish my contract and will give it back to me when I finish. That also seems like it’s also infringing on article 26 amirite? Anyone else ever run into this issue?
Shouldn’t the question instead be whether or not the fine is legal to do in the first place? It is not uunusual for this to be in the English version of the contract but that isn’t submitted for a work permit. In addition I thought it was specifically illegal to include breaking contract penalties.
It is legal, but they have to still pay you for the work you did, then come after you. Time involved in doing it plus costs means it is smarter for them to pay the $10,000. Especially if an employer can open up a can of worms of revealing bad practices at the school.
I don’t think he can do that. The law seems clear about advance deductions of fines. They should be paid afterwards, after the infraction, by the employee and not deducted.
3 possibilities:
1 - If your contract mentions a fine for advance contract termination, you are liable for it.
2 - If the fine mentioned is really huge, like more than 3 or 4 weeks of your salary, you can ask for arbitration because you could argue that it is unreasonable. The department of labour will arbitrate whether or not it is an acceptable amount and hence determine the appropriate amount you should pay. 10k sounds acceptable by their standards though (ONLY IF it is mentioned in your contract)
3 - If your contract does not mention any fine of that kind, you are NOT LIABLE FOR ANYTHING
I heard of employers taking a deposit from their employees on their first month; that’s kind of the same thing and totally illegal, even if the contract mention a penalty for advance termination.
Go to your county’s Department of Labor, kindly ask for their help. They’ll tell you what’s what. If it’s illegal, you can file a complaint there and they’ll handle that for you and give a little spanking to your boss!
Take your contract, payslips and bank records with you.
If your in Taipei, go to City Hall, 5th floor.
Keep us posted 