Supplementary Benefits Act 1976

4 (1) While a deduction notice is in force in respect of an employee, the following provisions of this paragraph shall apply as regards any pay-day on which his available earnings exceed his protected earnings (as specified in the notice):

Provided that, as regards any pay-day falling within the period of seven days beginning with the day on which the deduction notice comes into force, sub-paragraphs (2) and (3)(a) below shall have effect as if for the words " shall deduct" there were substituted the words " may deduct ".

In this paragraph " the notified amount ", in relation to a deduction notice, means the amount specified in that notice in accordance with paragraph 2(2)(b) above.

(2) If on the pay-day in question the employee's available earnings exceed his protected earnings (as specified in the deduction notice) by an amount equal to or less than one-tenth of the notified amount, the employer shall deduct from the employee's available earnings the amount of the excess.

(3) If on the pay-day in question the employee's available earnings exceed his protected earnings (as specified in the deduction notice) by an amount greater than one-tenth of the notified amount, the employer—

(a) shall deduct from the employee's available earnings an amount equal to one-tenth of the notified amount; and

(b) may with the consent in writing of the employee deduct from the employee's available earnings a larger amount:

Provided that the total amount deducted from the employee's available earnings by virtue of this sub-paragraph on any one payday shall not be greater than the amount by which the employee's available earnings exceed his protected earnings (as specified in the deduction notice).

(4) Notwithstanding anything in sub-paragraph (2) or (3) above—

(a) the employer shall not make a deduction on a pay-day by virtue of the deduction notice if the employee satisfies him that up to that pay-day he has not obtained payment of the supplementary benefit to which the deduction notice relates; and

(b) the employer shall not on any pay-day deduct from the employee's earnings by virtue of the deduction notice an amount greater than the amount by which, immediately before that pay-day, the notified amount exceeds the aggregate of all such amounts as, in relation to that notice, are mentioned in paragraph 3(1)(b)(i) and (ii) above.

(5) Where on any pay-day the employer makes no deduction from the employee's earnings by reason only that the employee has satisfied him as mentioned in sub-paragraph (4)(a) above, the employer shall forthwith give notice of that fact to the Secretary of State at the prescribed place and in the prescribed manner.

(6) Where the employer is required by sub-paragraph (2) or (3)(a) above to make a deduction on a pay-day and the amount of the deduction which he would be so required to make apart from this sub-paragraph includes a fraction of 1p, the amount which he is so required to deduct on that pay-day shall be reduced by that fraction.