Is it legal to institute a pay decrease due to transportation issues?

UPDATED: Sep 30, 2022

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Is it legal to institute a pay decrease due to transportation issues?

My boss wants to institute a pay cut for all employees who take the bus to work. Is this

legal? Sounds like discrimination to me.

Asked on March 29, 2016 under Employment Labor Law, Pennsylvania


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

Answered 6 years ago | Contributor

Unless this action constitutes some form of illegal discrimination, it is perfectly permissable. However, in order be legally actionable an employee's treatment must be based on their gender, race, religion, nationality, disability, age (over 40) and, in some states, sexual orientation. Such is not the case here. The fact is that not all employees need be treated the same or even fairly. In an "at will" work setting, a company can set the conditions of employment much as it sees fit. This includes how much to pay certain workers. That having been said, additionally this action must not violate the terms of any applicable union agreement or employment contract or even company policy.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

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