I work for a private employer and am employed under the Nurses Award 2020.  My employer has told me that if I do not give adequate notice when resigning my employment, then they can deduct money from my termination payment. Is this correct?

Yes.  Clause 32.1(d) of the Nurses Award 2020 provides that an employer may deduct wages due to an employee if they do not give adequate notice upon resignation.  However, the amount that they may deduct is limited to a maximum of 1 week’s wages and must not be unreasonable in the circumstances.