What to do if my husband was told today that he would be receiving a 1/5 pay cutdue to changing positions?

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What to do if my husband was told today that he would be receiving a 1/5 pay cutdue to changing positions?

He changed positions 4 months ago with no knowledge of a pay decrease, nor did he sign anything agreement to such. They are now requesting that he signs the new salary pay rate. Can they make him accept the pay decrease?

Asked on December 19, 2011 under Employment Labor Law, Pennsylvania

Answers:

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

Answered 9 years ago | Contributor

Yes they can but only for work going forward. Any work performed prior to his notification should be paid at his former rate. 

As for the rate change itself, this is legal unless such a change violated existing company policy, the terms of an employment contract/union agreement, or the change is due to some form of actionable discrimination. Otherwise, he  is an "at will" employee. As such his employer has a great deal of discretion in setting the rules and requirements of employment. In other words, it can increase/decrease salary as it sees fit. For his part, your husband can continue to work for this employer or quit (granted not much of a choice). That is the law.


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