salary cuts

The school I work for is cutting all employee salaries by 6% starting next month. We all have written agreements which state our salary for the year. Is this legal?

1 answer  |  asked Dec 17, 2008 6:28 PM [EST]  |  applies to Pennsylvania

Answers (1)

Christopher Ezold
If you have a contract stating your salary amount, your employer may not reduce your salary.

Before I respond to your inquiry, I must state that we have not spoken, I have not reviewed the relevant documents and facts, and I do not represent you. Therefore, my discussion below is not a legal opinion, but is informational only. Finally, my discussion applies only to issues to which Pennsylvania or Federal law apply, unless otherwise specified.

That being said, if you have a contract stating your salary amount, your employer may not reduce your salary. The contract may allow your employer to do so; unless I review the contract, I cannot tell. Furthermore, if your 'written agreement' is merely an offer letter, then you may not have a contract setting your salary. Some offer letters are, however, contracts. Finally, if the contract term is up this month, the employer may be able to set salary rates next month. In summary, if you have a contract, and it sets forth your salary, generally the employer may only reduce the salary if the contract allows.

If you would like to discuss this matter further, please feel free to contact me at the below address(es) or number.

/Christopher E. Ezold/
Nancy O'Mara Ezold, P.C.
One Belmont Avenue,
Suite 501
Bala Cynwyd, PA 19004
(610) 660-5585

posted by Christopher Ezold  |  Dec 18, 2008 09:37 AM [EST]

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