What to do if I was unfairly demoted with a substantial pay decrease based on untrue statements of another party?

I am a full-time employee with a consulting company. I received notification that I was being demoted after a client gave terrible feedback about me subsequent to my declining an offer for full-time employment with that client. Prior to that, the client had been happy with my work and had just extended my contract. My company had never given me any bad reviews or indication that they were unhappy with me. A $30,000 paycut was effective immediately. The basis for the demotion had lies strewn throughout and I was not given any opportunity to defend any of the false allegations. Do I have a legal basis to recover the paycut from the client that lied or from the company that I work directly for?

Asked on March 26, 2018 under Employment Labor Law, South Carolina

Answers:

M.D., Member, California and New York Bar / FreeAdvice Contributing Attorney

Answered 2 years ago | Contributor

Unfortunately, unless you have prtoction agains such a wage decrease under the rers of n employment ocntrat or union agremnt, you have no claim here. The fact is that a company can set the conditions of employment much as it sees fit (absent some form of legally actionable discrimination). This includes when and why to mandate a salary reduction. In fact, such an action can be made for any reason or no reason at all, with or without notice.


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