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Can my employer legally cut my rate of pay without giving me notice?
I have worked for my present employer for four years, full time. However I recently stopped working full time hours as I have started another job, but I continue to work part time. In this week's pay packet I notice that my rate of pay has been cut by 16½%. I was not informed that this would be happening, so is the pay cut legal?
12 Answers
- 1 decade agoFavorite Answer
Burnsie go to the acas website where you will find the information you require......if you where fulltime it would defnitely be illegal and I am sure partime workers have the same rights now as fulltime....but as i say visit the acaswebsite
Source(s): acas - 1 decade ago
Absolutely. You are most likely an employmee at will. As such, you may be fired at any time for any reason, including a false or "made up" reason. Of course, you weren't fired, but if they can fire you, they can certainly do anything short of firing--such as reduce your pay.
One of the above responders suggested that you can't have your wages reduced until you sign a new contract. If you had an old contract, that might be so. However, if you are like most people in the U.S., you don't have a contract. (If you are part of the .0478 percent that does, you'll want to read your contract).
The only rule about pay is that you have to be paid minimum wage, and in accordance with applicable overtime rules.
(There is actually an argument that you were paid improperly for the one pay period since you got no notice of the pay cut. This would be on the same theory that some courts use to award persons who are fired without notice one or two weeks pay. Not a common outcome, but it happens. But you have notice now, so at best they owe you 16 1/2% for 1 pay period. You will do nothing about this because it will cost much more than that amount to collect the money.)
- Anonymous1 decade ago
No. Under employment legislation, an employer must inform you if they are reducing your pay or making any deductions from it. They are not allowed to just take the money. Your new job may be at a lower rate of pay but they still must inform you. Contact your payroll department and ask them why you have received less money and then speak to your manager. As they have not informed you, you are entitled to receive the deficit back until you have been told that your rate of pay has been reduced. Good Luck
- 1 decade ago
Most employers can legally cut their pay rate if you have gone from a 'full time' position to a 'part time' one. You may find that they consider it to be a completely different job, and therefore have started you on a lower pay band or something.
They do not have to give you notice, although if you have worke there 4 years, and this is how they treat you, then walk the hell out.
People like that don't deserve your efforts
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- AlLv 41 decade ago
If you have 2 jobs, one of them will be at a higher tax rate (because all your personal allowance is being used up by your first job). So all the money you earn in the 2nd job will be taxed at the normal rate, without any allowance.
But they can't cut your hourly rate, unless you signed a new contract that stated the lower rate.
- hplss.rmntcLv 51 decade ago
You can have your pay cut. I think the laws very from state to state. Where I am they have to give you notice prior to you working for that lower pay rate.
Look at your states Department of Labor website. They may have a division of hours and wages.
- Squat1Lv 51 decade ago
In the U.S. this can be done legally.
Out of courtesy, you should have been informed but it is not illegal to not informed you. Does not violation and Federal or State labor laws.
- Expert8675309Lv 71 decade ago
Yes, it's legal.
Why would you think you would continue to get the same rate of pay that you did when working full-time when you are working FEWER hours????
They didn't notify you because it's common sense....fewer hours=lesser pay.
- Barry auh2oLv 71 decade ago
They can do this, and it is legal. However,common courtesy would dictate that they tell you there is a difference in your rate.
- stormydaysLv 51 decade ago
No.. Its illegal to change your terms and conditions and its illegal to deduct your earnings without your prior agreement