Employment Rights Act 1996, section 23

Complaints to employment tribunals

Part II Protection of wages

(1)A worker may present a complaint to an [F96employment tribunalF96] —

(a)that his employer has made a deduction from his wages in contravention of section 13 (including a deduction made in contravention of that section as it applies by virtue of section 18(2)),

(b)that his employer has received from him a payment in contravention of section 15 (including a payment received in contravention of that section as it applies by virtue of section 20(1)),

(c)that his employer has recovered from his wages by means of one or more deductions falling within section 18(1) an amount or aggregate amount exceeding the limit applying to the deduction or deductions under that provision, or

(d)that his employer has received from him in pursuance of one or more demands for payment made (in accordance with section 20) on a particular pay day, a payment or payments of an amount or aggregate amount exceeding the limit applying to the demand or demands under section 21(1).

(2)Subject to subsection (4), an [F96employment tribunalF96] shall not consider a complaint under this section unless it is presented before the end of the period of [F97sixF97] months beginning with—

(a)in the case of a complaint relating to a deduction by the employer, the date of payment of the wages from which the deduction was made, or

(b)in the case of a complaint relating to a payment received by the employer, the date when the payment was received.

(3)Where a complaint is brought under this section in respect of—

(a)a series of deductions or payments, or

(b)a number of payments falling within subsection (1)(d) and made in pursuance of demands for payment subject to the same limit under section 21(1) but received by the employer on different dates,

the references in subsection (2) to the deduction or payment are to the last deduction or payment in the series or to the last of the payments so received.

[F98 (3A)Section 207B (extension of time limits to facilitate conciliation before institution of proceedings) applies for the purposes of subsection (2).F98]

(4)Where the [F96employment tribunalF96] is satisfied that it was not reasonably practicable for a complaint under this section to be presented before the end of the relevant period of [F99sixF99] months, the tribunal may consider the complaint if it is presented within such further period as the tribunal considers reasonable.

[F100 (4A)An employment tribunal is not (despite subsections (3) and (4)) to consider so much of a complaint brought under this section as relates to a deduction where the date of payment of the wages from which the deduction was made was before the period of two years ending with the date of presentation of the complaint.

(4B)Subsection (4A) does not apply so far as a complaint relates to a deduction from wages that are of a kind mentioned in section 27(1)(b) to (j).F100]

[F101 (5) No complaint shall be presented under this section in respect of any deduction made in contravention of section 86 of the M1 Trade Union and Labour Relations (Consolidation) Act 1992 (deduction of political fund contribution where certificate of exemption or objection has been given).F101]

Definitions used in section 23 5

worker

(3) In this Act “worker” (except in the phrases “shop worker” and “betting worker”) means an individual who has entered into or works under (or, where the employment has ceased, worked under)—

(a)a contract of employment, or

(b)any other contract, whether express or implied and (if it is express) whether oral or in writing, whereby the individual undertakes to do or perform personally any work or services for another party to the contract whose status is not by virtue of the contract that of a client or customer of any profession or business undertaking carried on by the individual;

Defined in s.230(3) · see it in the full Act

(6) This section has effect subject to sections 43K , 47B(3) and 49B(10) ; and for the purposes of Part XIII so far as relating to Part IVA or section 47B, “worker”, “worker’s contract” and, in relation to a worker, “employer”, “employment” and “employed” have the extended meaning given by section 43K.

Defined in s.230(6) · see it in the full Act
employment

(5) In this Act “employment”—

(a)in relation to an employee, means (except for the purposes of section 171) employment under a contract of employment, and

(b)in relation to a worker, means employment under his contract;

Defined in s.230(5) · see it in the full Act

(6) This section has effect subject to sections 43K , 47B(3) and 49B(10) ; and for the purposes of Part XIII so far as relating to Part IVA or section 47B, “worker”, “worker’s contract” and, in relation to a worker, “employer”, “employment” and “employed” have the extended meaning given by section 43K.

Defined in s.230(6) · see it in the full Act
employer

(4) In this Act “employer”, in relation to an employee or a worker, means the person by whom the employee or worker is (or, where the employment has ceased, was) employed.

Defined in s.230(4) · see it in the full Act

(6) This section has effect subject to sections 43K , 47B(3) and 49B(10) ; and for the purposes of Part XIII so far as relating to Part IVA or section 47B, “worker”, “worker’s contract” and, in relation to a worker, “employer”, “employment” and “employed” have the extended meaning given by section 43K.

Defined in s.230(6) · see it in the full Act
wages

(1) In this Part “wages”, in relation to a worker, means any sums payable to the worker in connection with his employment, including—

(a)any fee, bonus, commission, holiday pay or other emolument referable to his employment, whether payable under his contract or otherwise,

(b)statutory sick pay under Part XI of the Social Security Contributions and Benefits Act 1992,

(c)statutory maternity pay under Part XII of that Act,

(ca) statutory paternity pay under Part 12ZA of that Act,

(cb)statutory adoption pay under Part 12ZB of that Act,

(cc)statutory shared parental pay under Part 12ZC of that Act,

(cd)statutory parental bereavement pay under Part 12ZD of that Act,

(ce)statutory neonatal care pay under Part 12ZE of that Act,

(ce)any amount of qualifying tips, gratuities and service charges allocated to the worker under Part 2B of this Act,

(d)a guarantee payment (under section 28 of this Act),

(e)any payment for time off under Part VI of this Act or section 169 of the Trade Union and Labour Relations (Consolidation) Act 1992 (payment for time off for carrying out trade union duties etc.),

(f)remuneration on suspension on medical grounds under section 64 of this Act and remuneration on suspension on maternity grounds under section 68 of this Act,

(fa)remuneration on ending the supply of an agency worker on maternity grounds under section 68C of this Act.

(g)any sum payable in pursuance of an order for reinstatement or re-engagement under section 113 of this Act,

(h)any sum payable in pursuance of an order for the continuation of a contract of employment under section 130 of this Act or section 164 of the Trade Union and Labour Relations (Consolidation) Act 1992, and

Defined in s.27(1) · see it in the full Act
trade union

“trade union” has the meaning given by section 1 of the Trade Union and Labour Relations (Consolidation) Act 1992 ,

Defined in s.235(1) · see it in the full Act

Cases considering section 23 70

Chief Constable of the Police Service of Northern Ireland and another v Agnew and others

[2023] UKSC 33 · 4 October 2023Limits

The series extension has the same material meaning as article 55(3). The three-month period runs from the last deduction but does not restrict what may factually constitute a series. (see paras [101]; [121]-[128]) The two-year backstop limits relevant Great British claims but has no equivalent in Northern Ireland. (see paras [43]-[44]; [86]) The exclusions from the Great British two-year backstop leave holiday pay within its scope because holiday pay appears in section 27(1)(a). (see paras [43]-[44])

Her Majesty's Revenue and Customs (Respondents) v Stringer and others (Appellants)

[2009] UKHL 31 · 10 June 2009

The provision gives the employment tribunal jurisdiction over a complaint that an employer has made an unauthorised deduction. It was available for the holiday-payment complaint. The ordinary three-month time limit was compared with the Working Time Regulations time limit. Its operation was relevant to the available statutory remedy. A complaint concerning a series of deductions may be brought within three months of the last deduction. The availability of this more favourable rule was a practical consequence of classifying the payments as wages and supported the equivalence analysis. The provision permits a tribunal to extend time where earlier presentation was not reasonably practicable. It formed part of the procedural regime contrasted with regulation 30.

Tyne and Wear Passenger Transport Executive (trading as Nexus) v National Union of Rail, Maritime and Transport Workers & Anor.

[2022] EWCA Civ 1408 · 27 October 2022

Section 23 provides the complaint mechanism and time framework for unauthorised-deduction claims. The court used its structure to distinguish past and future deductions. (see paras [15]-[18]; [92]-[98]) Section 23(1)(a) permits a worker to complain to an Employment Tribunal that an employer has made an unauthorised deduction. (see para [15]) Section 23(2)(a) imposes a three-month time limit for bringing a complaint, subject to the Employment Tribunal’s limited power to extend time. (see para [16]) Section 23(3) permits a series of deductions to be treated together for time-limit purposes, with time running from the last deduction in the series. (see paras [16]; [18])

50 more judgments, and what each says about section 23, are in the case-law panel in the full Act.

Amendments and notes

8 notes from legislation.gov.uk

Amendments

  1. F96Words in s. 23(1)(2)(4) and sidenote to s. 23 substituted (1.8.1998) by 1998 c. 8, s. 1(2)(a)(b) (with s. 16(2)); S.I. 1998/1658, art. 2(1), Sch. 1
  2. F97Word in s. 23(2) substituted (1.10.2026) by Employment Rights Act 2025 (c. 36), s. 159(3), Sch. 12 para. 4(3)(a); S.I. 2026/954, reg. 3 (with reg. 4)
  3. F98S. 23(3A) substituted (31.12.2020) by The Cross-Border Mediation (EU Directive) (EU Exit) Regulations 2019 (S.I. 2019/469), reg. 1(1), Sch. 1 para. 12(3) (with reg. 5) (as amended by S.I. 2020/1493, regs. 1(1), 4(5)(6)); 2020 c. 1, Sch. 5 para. 1(1)
  4. F99Word in s. 23(4) substituted (1.10.2026) by Employment Rights Act 2025 (c. 36), s. 159(3), Sch. 12 para. 4(3)(b); S.I. 2026/954, reg. 3 (with reg. 4)
  5. F100S. 23(4A)(4B) inserted (8.1.2015) by The Deduction from Wages (Limitation) Regulations 2014 (S.I. 2014/3322), regs. 1(1), 2 (with reg. 4)
  6. F101S. 23(5) inserted (1.8.1998) by 1998 c. 8, s. 15, Sch. 1 para. 18; S.I. 1998/1658, art. 2(1), Sch. 1 (with art. 3)

Modifications

  1. C21S. 23(1)(a) extended (1.4.1999) by 1998 c. 39, s. 20(1)(a) (with s. 36); S.I. 1998/2574, art. 2(2), Sch. 2

Marginal citations

  1. M11992 c. 52.