Can an employer cut your pay to transfer you to a different department?

They can cut his pay for any reason they want, right down to minimum wage, and there is no entitlement to a stock option plan. They could take away his stock options plan at any time they want.

In general the answer is that an employer can do whatever they want. Raises, cut in pay, hire, fire, transfer - whatever they want.

But because labor laws are different depending on what country/province/state he works in he would need to check the regulations in his specific location.

One thing to note: Employees typically are "classed". And all employees of a class must be treated the same way regarding to many things, including benefits. And ESOP is a benefit. So if he is classed and all employees of that class have ESOP and he is moving to another position in that same class, that could be a problem for the employer. If he is changing to a different class that isn't eligible for benefits, then it's very likely legal, and reality.

An employer can do anything they want to do. It sounds like the position, he is transferring to, does not pay as much and does not qualify for the ESOP.

My soon to be boss was willing to take me at current salary and they do get esop, 5 of 7 yrs vested already

This is just another example of how bosses really don't care about their hard working employees. It seems now-adays that people's jobs mean absolutely nothing to employers. The boss gets all the power while the employee gets the short end of the stick.

Obviously that position does not pay as much or have the same benefits. If it's his choice to move to a different division, then he will take the pay cut. Or he can stay where he is and keep his current salary and benefits. In today's economy, he has a job and should be thankful.

except he has the protection of an employment settlement, the corporate has authority to designate pay for each place. the worker is paid, no longer for being an worker, wherein case the people earnings might stick to him no remember what place he took. the worker is paid to accomplish a job, and not all jobs are the two valued through the business enterprise.

As long as he's still making at least minimum wage, it's legal, and would be even if he stayed in the same department and same job.

Depending on the type of transfer and what his new position would be, yes.

mhm