Can an employer keep changing the pay structure without notice?
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Can an employer keep changing the pay structure without notice?
I work as a sales associate and almost 1 year ago my company changed over to a commission based program. Today I was told that our pay was changing again starting immediately to hourly for 3 weeks and we get our commission on the fourth week. Can they keep changing our pay without proper notification?
Asked on August 14, 2011 Indiana
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 12 years ago | Contributor
But they *did* provide proper notification--they told you that the pay structure was changing starting immediately, or going forward. If you do not have an employment contract, you are an employee at will; an employer may terminate, suspend, promote, transfer, give a raise to, reduce the pay of, or change how the employee at will is paid at any time, for any reason. The only limitations are:
1) No illegal discrimination in how people are treated (e.g. don't discriminate against race, religion, age over 40, sex, disability).
2) No retaliation for filing or bringing a protected claim (e.g. a wage and hour, overtime, FMLA, or discrimination claim).
3) Changes can't be retroactive--whatever you've earned up to the time of the announcement is yours.
But a forward looking or prospective change is fine, and no more notice is required that "starting now" or "starting immediately."
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