Half Salary - HELP!!!!

[FinancialNinja]

Hi there,

 

Can your employer request that you work for half salary?

 

The terms of employment remain the same apart from half the money each month.

 

I have been employed for over 2 years and hold a senior position.

[paulgmb]

Hi,

yes your employer can request it but you don't have to agree!

If you do agree, for example to protect your job as I assume the request is being made due to lack of work, ensure you get something in writing saying it is only temporary.

An old trick is for employers to get staff to agree a reduction in hours to safeguard jobs then make them redundant. Redundancy pay is of course based on your salary and if you have agreed to reduce said salary......

I can't think of too many good reasons to cut your salary in half, especially volunteering to do it.

Regards,

 

Paul.

[TheChancellor]

I would think that either things are very bleak (with little hope of recovery) or your employer is trying it on in the current climate.As Paul says think v.carefully before agreeing to such a cut.You might be better off just facing redundancy if that is the inevitable.

[Jimbo44]

Unless there is specific provision in your contract of employment for a salary reduction of this kind, your employer can only implement a salary reduction with your agreement.

 

If he tried to implement the change without your explicit agreement he would be in breach of the contract and, quite possibly, guilty of making an illegal deduction from your wages too if he actually paid you at the reduced rate.

 

By virtue of the fact you say he has requested your agreement I would suggest he already realises this anyway.

 

As has been said above, I would think very carefully before accepting the request in view of the possible ramifications regarding redundancy etc.

[FinancialNinja]

The reasons have been stated as trying to reduce overheads. I have not agreed to the deduction and I am worried now that he may try to just do it anyway.

 

Presumably if that happens I can do something about it?

[kfdh1962]

as jimbo says, if its not in your contract they can't enforce it without being in serious breach of contract. there are also rulings on reduced pay , for instance if you are reduced to half pay or less for more than 4 weeks in a 13 week period you are allowed to demand redundancy anyway

 

as the others say think long and hard before you agree.. you dont have to agree to this... they could reduce your pay with your agreement and stil make you redundant so your sacrifice could end up being all for nothing.. by refusing at the outset they would at least have to go down the redundancy route and you would get your full entitlement

[p_cas]

Exactly how many years have you been employed there? Is it just over 2 years or did you only mention that in relation to redundancy? If it's only just over two years (unless youre on a very considerable salary) you wont get much redundancy and it may be better to consider the half pay offer and at least you'll have a salary of sorts while you possibly look for another job. If you go for the half pay then try and get it in writing that it's for a limited period only, perhaps a few months, to get the company through a short term cash flow problem.

 

Is it just you who has been offered this or others in the company and, if so, have the others accepted the reduced pay terms?