Company issuing mandatory pay cuts

Jtaustin316

I'm in a near identical situation to this myself. 
My company have issued a business wide mandatory pay reduction, with immediate effect, across all levels. 
The issue with this I have is that the business units that are continuing to operate are maintaining the profit levels they were pre-Covid19, and the ones that aren't have been furloughed.   On this basis, the company itself is in no worse a position to what it already was, they are (in my eyes) protecting their profit levels by hitting the people who continue to earn profit. 
I understand the comments around 'be happy we have a job' etc. but that's ignoring the fact that (a) my business in particular is continuing to make the same profit as before and (b) the pay deduction without consultation of the employees is in fact illegal.  We have a very large workforce and when reading up in this, it appears that for any impact across >100 employees (I think this number is right, but hold my hands up to being no expert) - then the business have to open into consultation across a 30 or 45 day period... which they did not do.
Circumstances or not, this is against our employment contracts, against employment law and by simply allowing it to happen opens up a dangerous precedence...
I for one, am 'working under protest'.  Meaning, I will continue to do my job, but if we are able to return to pre Covid-19 state of play, I will look to recover lost salary from the business...

Just my two pennies worth...! 

Takeaway_Addict

Jtaustin316 said:

I'm in a near identical situation to this myself. 
My company have issued a business wide mandatory pay reduction, with immediate effect, across all levels. 
The issue with this I have is that the business units that are continuing to operate are maintaining the profit levels they were pre-Covid19, and the ones that aren't have been furloughed.   On this basis, the company itself is in no worse a position to what it already was, they are (in my eyes) protecting their profit levels by hitting the people who continue to earn profit. 
I understand the comments around 'be happy we have a job' etc. but that's ignoring the fact that (a) my business in particular is continuing to make the same profit as before and (b) the pay deduction without consultation of the employees is in fact illegal.  We have a very large workforce and when reading up in this, it appears that for any impact across >100 employees (I think this number is right, but hold my hands up to being no expert) - then the business have to open into consultation across a 30 or 45 day period... which they did not do.
Circumstances or not, this is against our employment contracts, against employment law and by simply allowing it to happen opens up a dangerous precedence...
I for one, am 'working under protest'.  Meaning, I will continue to do my job, but if we are able to return to pre Covid-19 state of play, I will look to recover lost salary from the business...

Just my two pennies worth...! 

But the company is in a worse position, just because some areas have been furloughed doesn't mean every other cost associated with those departments aren't still there, utiliites, rent, holiday pay etc etc. You maybe profitable but as a company they will be taking a hit.

And I'm afraid given the circumstance I cannot see many tribunals ruling in favour of the employee if it means the company survived.