Employees may give their employers written authorization to deduct from their wages their monetary obligations, including payments to creditors, donees, or other third parties. A written agreement for deductions payable to the employer or the employer's interest is not valid if it would reduce the employee's wage rate below the statutory minimum. Requiring or inducing employees to return or give up any part of their wages by force, intimidation, or threat of dismissal is illegal (AK Admin. Code Tit. 8 Sec. 15.160(a), Sec. 15.160(b)).
Employers and employees may agree to deductions for transportation from the place of hire to the place of employment as long as the deduction does not reduce wages below the minimum wage or below 11/2 times the employee's pay rate for overtime hours (AK Admin. Code Tit. 8 Sec. 15.160(c)).
Employees may also voluntarily agree, in writing, to reimburse their employer for the reasonable costs of furnishing board and lodging if (AK Admin. Code Tit. 8 Sec. 15.160(d)):
• Board and lodging are customarily furnished by the employer and used by the employees.
• The cost of such board and lodging is reasonable and without profit to the employer.
An employer may deduct a security deposit from an employee's wage to ensure the return, in a clean and well-repaired condition, of uniforms and equipment issued by the employer if (AK Admin. Code Tit. 8 Sec. 15.160(g)):
• Such deduction is by written agreement.
• The total deposit does not exceed the cost of the item.
• The deduction does not result in a violation of the minimum wage or overtime requirements.
Note: An employer may not require an employee to purchase a uniform or equipment required by the ...