Would you sign this contract?

[TheWorstPerson]

I've recently started work at a new job, all great, love the job and my colleagues. However, today I received my contract. I noticed a clause in there that says : by signing this contract, you give the company permission to deduct from your wages any loss the company suffers as a result of cash and/or stock shortfall on shifts worked by you.
Because of the nature of the customer base, and the products we sell, the company has a relatively high level of theft by customers, so I immediately reached out to my manager to double check that this clause didn't refer to customer theft, and she replied to say that yes, it does. Further to that, I found out that it's only in newer contracts, and because my colleagues have all been employed there for 3+ years, not only would I be liable, but possibly solely liable! This is a big, well known company, and while I can't see how this can be legal, I also can't imagine that they've put something into an employment contract that isn't legal. What would you do? Sign the contract? Leave immediately? Some other course of action? Im absolutely at a loss.

I know OP has decided not to go back, but just in case anyone else reads this thread in future - be careful that continuing to work doesn’t constitute implied acceptance of the contract. I’m not a lawyer so don’t know the exact details of how long you’d have to be working for that to be the case or if there are any mitigating defences but it’s something that would need to be considered.

Unreasonable clauses in contracts are often not legally enforceable (I used to be a contracts lawyer) but in your situation it looks like they will take the money first and you would be seeking to recover. I would refuse and say you are taking legal advice as you think it is a non-enforceable clause, maybe contact Citizens Advice? What a horrible situation to find yourself in but do not sign the contract!

So glad you’ve decided not to sign. Cheeky bastards! Those thefts are a case of ‘their company, their risk’.

Hope you can find another job soon OP, you've made the right decision. I would suggest reporting the company once you have left, as what the contract says can take people below the minimum wage quite easily.

Get a thick black marker.
Draw a line through the all of that clause and add your initials at the start of the line and at the end of the line.
On each page add an _ (eg 1 ) of _ (no of pages) and add your initials and date
Sign and date the marked pages
Take a copy and send it back.
HR can either accept or reject the amended contract but you have signed it.

Start looking for a new job too as HR may push back on the changes to the contract and ask your manager to let you go. If they are asking that you sign the "full" contract you simply point out that the clause should have been raised at the interview stage.

I know that it is "retail" and managers hire indepndent of HR who will be slow with contracts but always aim to get the written contract before you start a new job.

This ^ is true for most clauses in an employment contract
* edit in
the clauses/ terms of employment can be a verbal contract which the OP started with.
And by action the company have introduced a new T&C with a written document so turning up to work per the roster is the company keeping the OP employed after week 3 means they have to pay OP for any time worked but could argue that the the OP has received the written statement that employers must provide
** edit end

but to have the legal right deduct from wages the company need a specific written agreement signed by the employee.

That is a really shocking clause in a contract. I can't believe it's legal. I'm so glad you can afford not to go back. Can you name the company once you leave?

A lot of people would sign the contract without reading it and it would be good to have a warning here.

I've left, my manager sent me a lovely message this morning telling me that she's incredibly sorry about this and offering me a glowing reference if I need it. I'm not comfortable naming the company, but think of the best known retailer who buys your goods (particularly tech) for cash and also sells it, and you'd probably have the right one.

Such a positive, affirming outcome for you. Thanks for updating us.

Well done 👍 good luck with the job search.

but to have the legal right deduct from wages the company need a specific written agreement signed by the employee.

If it is in the employee's contract and the employee has signed it, the employer does not need a specific written agreement. Employment Rights Act 1996 section 14(4)(a).

This clause is legal. However, as the job was in retail, the employer can only take a maximum of 10% of gross pay. This kind of clause, making employees responsible for till shortages or stock shortfalls, is relatively common in retail.

Cash converters!