Is it legal to institute a pay decrease due to transportation issues?
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Is it legal to institute a pay decrease due to transportation issues?
My boss wants to institute a pay cut for all employees who take the bus to work. Is this
legal? Sounds like discrimination to me.
Asked on March 29, 2016 under Employment Labor Law, Pennsylvania
Answers:
M.D., Member, California and New York Bar / FreeAdvice Contributing Attorney
Answered 8 years ago | Contributor
Unless this action constitutes some form of illegal discrimination, it is perfectly permissable. However, in order be legally actionable an employee's treatment must be based on their gender, race, religion, nationality, disability, age (over 40) and, in some states, sexual orientation. Such is not the case here. The fact is that not all employees need be treated the same or even fairly. In an "at will" work setting, a company can set the conditions of employment much as it sees fit. This includes how much to pay certain workers. That having been said, additionally this action must not violate the terms of any applicable union agreement or employment contract or even company policy.
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