Complete Labor Law Poster for $24.95
from, includes
State, Federal, & OSHA posting requirements


No announcement yet.

Demotion/Pay Cut

This topic is closed.
  • Filter
  • Time
  • Show
Clear All
new posts

  • Demotion/Pay Cut

    Is it legal for an employer to cut pay if you take a different position?

  • #2
    Probably. The general rule of thumb is that absent a contract, or a collective bargining agreement, or a specific law such as minimum wage that must be complied with, that compensation agreements can be altered on a go forward basis. Some states do not even formally specify the "go forward basis" part, although absent a specific state rule authorizing a retroactive decrease (which apparently no state actually has), such an action would be legally problematic. There might some some limited exceptions to this general rule, but 49 states follow the common law principal of "Employment At Will", and this is sort of a derivative rule from that principal. Even states like California considered to have pro-employee rules do not have any problem with this principal. Still, 50 states, 50 sets of rules, and your state might have some rule to the contrary (or not).
    "Reality is that which, when you stop believing in it, doesn't go away".
    Philip K. **** (1928-1982)


    • #3
      There is nothing illegal about your employer reducing your pay when you take a different position unless you have an employment contract to the contrary.
      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.


      The forum is intended for informational use only and should not be relied upon and is not a substitute for legal advice. The information contained on are opinions and suggestions of members and is not a representation of the opinions of does not warrant or vouch for the accuracy, completeness or usefulness of any postings or the qualifications of any person responding. Please consult a legal expert or seek the services of an attorney in your area for more accuracy on your specific situation.