Case 3: Allison

Allison worked as a bartender and cashier in a bar. She occasionally had to leave the bar but would lock the till before doing so and leave the key between two registers. One evening, Allison's cash was short $300. She urged the employer to call the police, but the employer did not. The next week, her till was short $1,000, and she was fired. The employer withheld her last pay cheque as compensation for the losses. Allison filed a complaint with the director of employment standards for the deduction from her wages. The employer pointed to a form Allison had signed when she was hired that stated: "If a shortage occurs, full payment is due immediately. If for any reason this agreement cannot be met, I authorize the employer to deduct the shortage in full of my next pay."

In these circumstances, did the employer violate the employment standards legislation by deducting the till shortages from Allison's final pay? Explain your answer.