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socrateaser
socrateaser, Attorney
Category: Business Law
Satisfied Customers: 37972
Experience:  Retired (mostly)
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Virginia - Can my boss legally cut my pay 25% and put me on salary Also, is there

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Virginia - Can my boss legally cut my pay 25% and put me on salary ? Also, is there a law against cutting different employees different amounts ( pref. treatment ), shouldn't it be a % "across the board" ?
Submitted: 6 years ago.
Category: Business Law
Expert:  socrateaser replied 6 years ago.
Virgina employment is "at will," which means that the employer and employee can change or terminate the employment agreement at any time, for any reason, or for no reason at all.

The employer can change your pay at any time, and you have the choice to accept by continuing to work or you can quit. A decrease in pay must be "substantially less favorable to the individual than those prevailing for similar work in the locality" in order to justify payment of unemployment benefits. If cutting your pay by 25% puts you clearly at a lower pay scale than others in your occupation or job description in the same locale, then you would be entitled to unemployment benefits, should you choose to quit in response to the reduction in pay.

Re disparate pay cuts, if the reduction disproportionately affects members of one sex in preference to the other, then that violates the federal Equal Pay Act, and you may have a viable claim of employment discrimination that you, and any other coworker similarly affected, can bring a charge against the employer to the Equal Employment Opportunity Commission.

Otherwise, the employer is free to change wages as it sees fit.

Hope this helps.

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Edited by socrateaser on 10/2/2010 at 1:24 AM EST
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Customer: replied 6 years ago.
You have been extremely helpful, thank you very much.
Expert:  socrateaser replied 6 years ago.
You're welcome and good luck.