Deductions from wages - South Dakota

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.

South Dakota law does not generally address wage deduction issues. However, an employer can not take deductions from an employee’s wages for:

• unemployment compensation insurance, or
• a medical exam or for medical records required by the employer.

Also, under state law, employers cannot require employees to pay expenses incurred while the employee is fulfilling the employee’s duties.

State

Contact

South Dakota Division of Labor and Management

Regulations

South Dakota Codified Laws Title 60 Chapter 60-2, Obligations Of Employer And Employee
60-2-1. Indemnification of employee by employer, exceptions.
60-2-2. Losses for which employer not required to indemnify employee.
60-2-3. Employer to indemnify for his own negligence.
http://legis.sd.gov/Statutes/Codified_Laws/DisplayStatute.aspx?statute=60-2&Type=Statute

South Dakota Codified Laws Title 60 Chapter 61-5, §61-5-36, Employee’s agreement to pay employer’s contributions void
http://legis.sd.gov/Statutes/Codified_Laws/DisplayStatute.aspx?type=Statute&Statute=61-5-36

South Dakota Codified Laws Title 60 Chapter 60-11, §60-11-2, Requiring employee to pay cost of medical examination as misdemeanor
http://legis.sd.gov/Statutes/Codified_Laws/DisplayStatute.aspx?type=Statute&Statute=60-11-2

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