Can company reduce wages by so much?

teacake1

Hi all,
I am new to the site and need help!
I need advice whether my employers can legally request that I change from 'paid by the hour' to a fixed salary and at the same time 'offer' me a salary which will mean me taking a drop of £8,000 annually. My contract at present states 'paid by the hour'. I was prepared to take a drop of up to £3000 per year but £8,000 left me more than speechless. I have worked with the same company for over 10 years and I am the only worker being asked to do this at this branch and have no idea why I have been singled out. 'They' (the company) said they would 'negotiate' a salary with me, but as I expected at the meeting negotiation was not an option and I was basically told 'accept the decrease' This is going to hit the household income cripplingly hard having taken a pay cut last year also along with fellow workers. I feel totally cornered, let down and worthless, however the company stated that they are extremely pleased with my work (although they have an odd way of showing it ). I am in my very late 40's and if I left this job, I know that realistically I am not going to walk into another, so leaving for me is not an option. Please help.

Savvy_Sue

Welcome ...

They can legally request it. You can legally refuse the new contract. If you carry on working before agreement is reached make it clear (in writing) that you are doing so 'under protest' while the matter is resolved. If you can't reach agreement, they can end your contract.

I'm guessing you're not in a union. If you are, phone them. If you're not, try ACAS.

diable

A drop of 8k is massive, who do you work for?

ceridwen

Just to say hope things work out well for you.

My instant suspicion when you say that you have been "singled out" for this treatment is to draw the connection between that and you saying that you are "very late 40s and couldnt get another job".

Bet thats why you got singled out..:mad: - ie the company feel safe for thinking "shes got nowhere to go/nothing else to do - so we need someone and we will choose her. The others might tell us to stick it in our pipe and smoke it rather than accept a new contract being imposed".

Doesnt help you - but its always best to know how ones employer is likely to be thinking...

Personally - I would certainly ask why I was being "singled out" like this - and wait for them to produce some remotely valid reason - rather than my suspected "real" reason. If you know what reason they are publicly quoting for picking on you like this then you might be able to challenge it.

mountainofdebt

The other things to take into consideration are

a) would this new salary mean that you are no longer paid at least the minimum wage?

b) if you are paid by the hour, could they (realistically) keep you on the same salary but reduce your hours so that the effect is the same?

Have they given a reason for requesting the change?

Also don't write yourself off just because of your age.