Deductions from wages - Rhode Island

Summary of differences between federal and state regulations

Federal regulations restrict the types of deductions that can be made from an employee’s wages or salary. Deductions can be made in certain cases, but the legality often depends on the nature and purpose of the deductions, as well as the status of the employee as exempt or non-exempt.

Rhode Island allows deductions to be made for union dues upon written agreement by the majority of the members of the designated collective bargaining unit.

Deductions may also be made for trade union or craft dues, charitable contributions, stock purchase, pension plan, financial institutions, or voluntary participation in a vanpool transportation system.

An employer may make a deduction for loan or advance against future earnings if evidenced by a statement in writing signed by the employee with the amount to be deducted each pay period. The statement may read “balance due upon separation.”

Deductions for the following reasons are not authorized (and an employee may not be asked to authorize such deductions):

• Spoilage or breakage,
• Shortages or losses, or
• Fines or penalties for:
  • Tardiness,
  • Misconduct, or
  • An employee quitting without notice.

State

Contact

Rhode Island Department of Labor and Training

Regulations

Rhode Island General Laws Title 28, §28-14-3, Deduction and payment of union dues
www.rilin.state.ri.us/Statutes/TITLE28/28-14/28-14-3.HTM

Rhode Island General Laws Title 28, §28-14-10, Wage deductions unaffected
www.rilin.state.ri.us/Statutes/TITLE28/28-14/28-14-10.HTM

Rhode Island General Laws Title 28, §28-41-30, Waiver of rights – Agreement to pay employer's contributions
www.rilin.state.ri.us/Statutes/TITLE28/28-41/28-41-30.HTM

Rhode Island General Laws Title 28, §28-44-56, Waiver of rights void – Agreements to pay employer's contributions
www.rilin.state.ri.us/Statutes/TITLE28/28-44/28-44-56.HTM

Federal

Contact

Wage and Hour Division

Regulations

For non-exempt employees:

29 CFR Part 531, Wage Payments under The Fair Labor Standards Act of 1938

For exempt employees:

29 CFR Part 541, Subpart G, Salary Requirements