Can my company demote me to a lesser paying job?

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Can my company demote me to a lesser paying job?

My company promoted an employee to a management position. They asked me to fill his old position. He has since decided he doesn’t like the new position and wanted his old job back. They have offered me a choice of two lesser paying positions and is giving my position to the employee who stepped down.
Is that legal?

Asked on February 12, 2017 under Employment Labor Law, California

Answers:

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

Answered 7 years ago | Contributor

Unless this action breaches a term of an employment contract or union agreement, it is legal. The fact is that most employment is "at will" which means that a company can set the conditions of work much as it sees fit, absent some form of legally actionable discrimination. This means that an employer can promote/demote as it chooses. Therfore, while your treatment is seemingly unfair, it is unfortuntely legal. So your choices are to either accept this demotion, complain but risk termination, or quit.


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