Wage reductions

[Exclaim]

Hi can anyone help. I know someone who is been asked to take a pay cut of 10%. Can the employer do this without written consent. He feels also that if he does not that he will be selected for redundancy. Also is this regarded as temporary or permanent do you get it back particularly in tis case as his rise came with a promotion a year ago.
Coupled with this he is in sales and has a bonus based on KPIs that in this climate are not achievable. Therefore his 10% cut in earnings could turn to 30% when bonuses not achieved are taken into account.

 

[shesells]

I've done some research on a similar situation (forewarned is forearmed and all that!) and as my contract details specifically what my conditions are, they cannot be changed unilaterally. According to the info I got on [broken link removed] any change to my Terms and Conditions must be mutually agreed unless the change is due to a change of law.

In these economic times it's not the easiest thing to fight but the law is on your side of they want to change your contract without your consent.

 

[UptheDeise]

I would take the cut in order to save my job.

 

[Madangan]

i would take the cut in order to save my job.

+ 1

 

[Optimist]

I've done some research on a similar situation (forewarned is forearmed and all that!) and as my contract details specifically what my conditions are, they cannot be changed unilaterally. According to the info I got on [broken link removed] any change to my Terms and Conditions must be mutually agreed unless the change is due to a change of law.

In these economic times it's not the easiest thing to fight but the law is on your side of they want to change your contract without your consent.

A contract can be changed quite easily when the alternative is to terminate the contract - which I think you'll find is quite within the law!

 

[ajapale]

Moved from Askaboutlaw to Work, Careers, Employment Rights etc

 

[dinjoecurry]

while I think anyone would take a paycut to stay in a job in this climate its important that profitable companies do not use the current uncertainty to exploit the workforce.

 

[Holtend82]

Thats exactly what im thinking !

 

[shesells]

A contract can be changed quite easily when the alternative is to terminate the contract - which I think you'll find is quite within the law!

If the termination is due to non acceptance of unilaterally imposed change of contract then the employee can take a constructive dismissal case.

 

[WaterSprite]

A contract can be changed quite easily when the alternative is to terminate the contract - which I think you'll find is quite within the law!

???

There are well established reasons where is it "within the law" to terminate a contract of employment. There are other reasons where, if a contract is terminated, it is actionable under various legislation.

I don't know what point you are trying to make.

On another point, I don't believe that selecting people for redundancy based on whether or not they agree to unilaterally amended terms of employment will be viewed as fair selection.