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View Full Version : Keeping Health Ins- Reducing pay (CA)


JAX2006
12-09-2005, 12:36 PM
- California.....In order to make expense cuts, I am forced to change my Health Benefits that I am currently giving my employees. I currently pay for 50% of their Health benefits. I have mentioned cutting the Health benefits completely and have one employee that REALLY needs to keep her benefits.

In order to keep the health benefit package that I have (paying 50%) the only way I can keep it would be to ask her to take a small pay cut that would even out the expense I'm paying (50%). Can I legally ask the employee to take a pay cut in order to keep health insurance?

JAX2006

Beth3
12-09-2005, 12:39 PM
Yes, you can but I'm not clear on what you're exactly doing - cancelling coverage for everyone but her? Having everyone but her pay a larger share of the premiums?

It's legal to ask her to take a pay cut but you could be violating some other laws depending on what exactly you're planning to do for the balance of the workforce.

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