If my employer is cutting my salary by almost 20%, do I have any option?
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If my employer is cutting my salary by almost 20%, do I have any option?
I am an at-will salaried employee. I do not belong to a protected class and I do not have any disabilities. I do not have a contract but I do have an offer letter, which tells me my starting salary, privileges use of mobile phone, business credit card, parking pass and that I would receive 20% commission for any new clients that I brought into the company no mention that it was a requirement. The reason for the salary is cut is not based upon reducing costs. It is because I didnt bring in any new clients yet. Additionally, the employer did not give me notice that if I did not bring in a client that my salary would be reduced. The employer has never written me up nor is their a company employee handbook. Do I have any options (i.e. voluntary quit, etc).?
Asked on May 3, 2012 under Employment Labor Law, Pennsylvania
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 12 years ago | Contributor
If you do not have an employment contract or some other agreement which guarantees your salary for a fixed period of time, your employer may reduce your salary at will; while you initial offer letter might offer protection if the reduction was attempted promptly upon hiring, once time has passed, the offer letter will longer bind the employer or prevent it from reducing your salary--the offer letter does not guaranty you that salary forever.
If you do not have an employment contract, your employer does not need to provide prior notice of the salary reduction or what will trigger it, and may reduce the salary for any reason.
YOu always have the option of leaving employment (e.g. quitting voluntarily), so long as their is no employment contract obligating you to remain employed for some period of time.
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