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Demotion, Less Hrs., Elligible for Unemployment? North Carolina

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  • Demotion, Less Hrs., Elligible for Unemployment? North Carolina

    My sister has been working as a Sous Chef for a Restaurant with 15+ employees that is owned by two co-owners for the past year. After her first 6 months at 12.00/hr. hourly pay, she was promoted to full time salary of guaranteed 50 hrs a week plus 2 weeks paid vacation (vacation which she has not taken). She has never had a performance review that was less than positive.

    Yesterday, she was sat down with no advance warning and explained that the other male chef (who was under her) would be taking her Sous Chef position because (and I quote) "he would do the work for less" aka hourly pay at a lesser rate.

    She was offered her old hourly pay rate of 12.00 with no vacation pay and though not discussed, probably only will be given 25 hours a week.

    I need help and any advice you can offer to tell her, some questions though:
    1) When will her decreased pay legally change (Does the employer need to pay her the old rate for 24 hours after the talk etc.?)
    2) Can she file an unemployment Claim due to the drastic reduction she will be taking in pay (almost 50%) to help compensate for the loss in wages?
    3) Is the demotion with drastic reduction in pay legal for the employer to do without poor performance etc.?

    Thank you and any further advice I can give her will be greatly appreciated.

  • #2
    1.) We cannot tell you when the pay rate will change - only her employer can answer that. I do not recall NC as being one of the few states where there is a specific notice period for a rate change.

    2.) She can apply. Only the NC UC commission can say if she will be able to collect benefits. I would expect her to be approved with that drastic a drop but my opinion is not binding on the state of NC.

    3.) Yes.
    The above answer, whatever it is, assumes that no legally binding and enforceable contract or CBA says otherwise. If it does, then the terms of the contract or CBA apply.

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    • #3
      Re #1 - An employer must give an employee 24-hours notice of any reduction in the employee's wage rate. NC Statute 95-25.13
      Too often we underestimate the power of a touch, a smile, a kind word, a listening ear, an honest compliment, or the smallest act of caring, all of which have the potential to turn a life around. Leo Buscaglia

      Live in peace with animals. Animals bring love to our hearts and warmth to our souls.

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      • #4
        Thanks, Betty; I didn't find that in my quick check.
        The above answer, whatever it is, assumes that no legally binding and enforceable contract or CBA says otherwise. If it does, then the terms of the contract or CBA apply.

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        • #5
          You're welcome. I just happened to have NC in my notes.
          Too often we underestimate the power of a touch, a smile, a kind word, a listening ear, an honest compliment, or the smallest act of caring, all of which have the potential to turn a life around. Leo Buscaglia

          Live in peace with animals. Animals bring love to our hearts and warmth to our souls.

          Comment

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