Labour Research May 2005

Law Queries

Removal of allowance

Q: Our employer has just announced that from the end of the month we will no longer get our shift allowance. Are they able to stop it just like that?

A: An employer cannot simply change your contractual terms by telling you they are going to do so. Any changes to your terms must be agreed.

If your employer goes ahead and stops the allowance without agreement, it will be in breach of contract and you could sue through county court. Alternatively, you could pursue a claim for unauthorised deduction of wages in an employment tribunal.