Lower pay

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Lower pay

I was hired at a job 5 months ago and signed a job description which listed me as a manager and purchaser. It also listed my pay which was much higher than my last job. Today, they told me that they would be reducing my pay and taking my manager duties away. I have never been written up or anything. My pay is now reduced to my last job’s pay. Is this allowed if I signed that document and was hired for that reason?

Asked on November 1, 2016 under Employment Labor Law, California

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 4 years ago | Contributor

Yes, it is allowed unless the document you signed had a set length or duration (e.g. was a one- or two-year contract). If it had a set length or duration, then your pay is locked in for that time, though it can be changed when the time period runs out or expires. But if there was no set length or duration, then it does not affect the employer's right to change pay/compensation, title, duties, etc. at will, and so the employer could do this.


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