Can my employer dock my salary with no write-ups?

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Can my employer dock my salary with no write-ups?

I was making 65k, boss says he’s not happy with my performance and drops me to 60k. I have no write-ups and have had no other reprimand. Is this legal?

Asked on January 10, 2019 under Employment Labor Law, Colorado

Answers:

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

Answered 5 years ago | Contributor

Unless this action violated the terms of an empoyment contract or union agreement, it was legal. The fact is that most work relationships are "at will". This means that a company can set the conditions of employment much as it sees fit (absent some form of legally actionable discrimination). That having been said, a reduction of wages can only be for work not yet performed. Any work already completed must be paid at the original rate. In other words, salary decreases cannot be retroactive.

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

Answered 5 years ago | Contributor

Unless this action violated the terms of an empoyment contract or union agreement, it was legal. The fact is that most work relationships are "at will". This means that a company can set the conditions of employment much as it sees fit (absent some form of legally actionable discrimination). That having been said, a reduction of wages can only be for work not yet performed. Any work already completed must be paid at the original rate. In other words, salary decreases cannot be retroactive.


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