Employment Law

Employment law questions? Ask an employment lawyer.

Ask a Lawyer,
Get an Answer ASAP!

My employer stopped matching my 401k, announced no raises,

Customer Question
said the BOD ordered a...
My employer stopped matching my 401k, announced no raises, said the BOD ordered a 10% across the board pay cut that has not been implemented yet, increased the cost of my health insurance at the same time they announced the 401k match cessation, suspended pension funding, and pushed out our bonus payments by two months (this coming May)... then they filed bankruptcy (Chapter 11) this week. I missed two rounds of severance and have been retained but I don't want to be here anymore because I cannot afford all the benefits cuts. Am I still on the hook for repaying relo under a three year prorated contracted since they so drastically cut the benefits and compensation that attracted me to take this job a little over a year ago? When I researched this company thoroughly, they had solid liquidity and no indication of financial trouble. I have a new job offer and want the relo contract nullified. Did they cause a breach by cutting my benefits and bonus and raise opportunities?
Submitted: 2 years ago.Category: Employment Law
Show More
Show Less
Ask Your Own Employment Law Question
Customer reply replied 2 years ago
See the attached signed repayment agreement and the most recent notice about cutting benefits as well as a link to the company's bankruptcy filing where they may have address which contracts they choose to reject or retain.https://cases.primeclerk.com/noranda/Home-DocketInfo
Customer reply replied 2 years ago
When I mention that I was retained, I have not been given a retention bonus... I simply wasn't severed in the two rounds of cuts that occurred the past couple of weeks and was told in a group announcement to my department that there will be no more cuts to my particular department.
Customer reply replied 2 years ago
See a copy of my accepted employment offer letter where they list the benefits which enticed me to accept the position in the first place and have since taken away.
Answered in 1 hour by:
2/10/2016
Employment Lawyer: Law Educator, Esq., Attorney replied 2 years ago
Law Educator, Esq.
Category: Employment Law
Satisfied Customers: 124,228
Experience: 20+ Years of Employment Law Experience
Verified
Thank you for your question. I look forward to working with you to provide you the information you are seeking for educational purposes only.
First off, unfortunately in your employment agreement it says the words "in accordance with our current benefits..." this makes the agreement subject to change when the employer's benefits change. This is a clause used that allows the employer to modify benefits as necessary or as they deem proper. So in these times where economic cuts are being made, if they are modifying benefits, they can legally change those benefits to you and you would not have recourse legally as it does not guarantee you the ongoing benefit by the wording they have used.
Second, you want them to lay you off, if you quit then they can come after you for reimbursement. I know you were hoping for severance, but the employer is going to lay off employees whose severance costs them less than other employees. So in your case, they know that they will have to forgive the reimbursement and that is why they are trying to force you to quit. Unfortunately though, this means you have to continue working pursuant to the terms of that agreement because if you leave even with them cutting the benefits, they will be able to enforce the reimbursement since the agreement wording means they could modify those terms.
Ask Your Own Employment Law Question
Customer reply replied 2 years ago
Doesn't the fact that the contract is prepetition in the bankruptcy my company filed have any bearing on whether or not the can still force me to repay?
Employment Lawyer: Law Educator, Esq., Attorney replied 2 years ago
Thank you for your reply.
Actually, even if they are in bankruptcy, the money that you owe in reimbursement is an asset of the bankruptcy estate and the bankruptcy trustee will pursue you to collect because that money is collected to pay creditors of the bankruptcy estate.
Ask Your Own Employment Law Question
Was this answer helpful?
Ask Law Educator, Esq. Your Own Question
Law Educator, Esq.
Law Educator, Esq.
Law Educator, Esq., Attorney
Category: Employment Law
Satisfied Customers: 124,228
124,228 Satisfied Customers
Experience: 20+ Years of Employment Law Experience

Law Educator, Esq. is online now

A new question is answered every 9 seconds

How JustAnswer works:

  • Ask an ExpertExperts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional AnswerVia email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction GuaranteeRate the answer you receive.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

I must thank you all for such a positive and knowledgeable Expert in your Employment Law category. She has provided much relief and answers for me in the midst of dealing with a case. I am totally pleased with her customer service and care.

MildredWashington, DC

Excellent direction from Socrateaser to help me preserve and pursue my rights as a proud American who has become unemployed in this messed-up economic downfall. Thank you

Happy CustomerDenver, CO

Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises!

Gary B.Edmond, OK

My Expert was fast and seemed to have the answer to my taser question at the tips of her fingers. Communication was excellent. I left feeling confident in her answer.

EricRedwood City, CA

I am very pleased with JustAnswer as a place to go for divorce or criminal law knowledge and insight.

MichaelWichita, KS

PaulMJD helped me with questions I had regarding an urgent legal matter. His answers were excellent.

Three H.Houston, TX

Anne was extremely helpful. Her information put me in the right direction for action that kept me legal, possible saving me a ton of money in the future. Thank you again, Anne!!

ElaineAtlanta, GA

< Previous | Next >

Meet the Experts:

Tina

Tina

Lawyer

8,184 satisfied customers

JD, BBA, recognized by ABA for excellence.

Allen M., Esq.

Allen M., Esq.

Employment Lawyer

12,976 satisfied customers

Employment/Labor Law Litigation

Marsha411JD

Marsha411JD

Lawyer

12,406 satisfied customers

Licensed Attorney with 29 yrs. exp in Employment Law

Infolawyer

Infolawyer

Lawyer

12,335 satisfied customers

Licensed attorney helping employers and employees.

JB Umphrey

JB Umphrey

Lawyer

6,273 satisfied customers

Assisting employees and employers for over 14 years.

John

John

Employment Lawyer

3,991 satisfied customers

Exclusively practice labor and employment law.

Dimitry K., Esq.

Dimitry K., Esq.

Attorney

3,007 satisfied customers

I provide employment and discrimination law advice in my own practice.

< Previous | Next >

Related Employment Law Questions
I've worked at a company for 44 years, 40 years as a
I've worked at a company for 44 years, 40 years as a supervisor. On Monday I was told I was being moved to a lower position with a $4.00 an hour pay cut. Another supervisor in our company is taking ov… read more
Allen M., Esq.
Allen M., Esq.
Employment Lawyer
Juris Doctor, Cum Laude
12,976 satisfied customers
Can my employer cut my pay while I was on Christmas vacation
Can my employer cut my pay while I was on Christmas vacation and was not notified until I returned to work and they made the pay cut retro while I was on vacation? Can they also change your job descri… read more
LegalPro54
LegalPro54
Doctoral Degree
1,258 satisfied customers
I have a salaried employee who works well over 40 hrs a week
Hi, I have a salaried employee who works well over 40 hrs a week as we have had several personnel changes that left two major departments in need of directing which he has stepped in and took on. Am I… read more
Legal Eagle
Legal Eagle
Attorney
Doctoral Degree
11,115 satisfied customers
I have a situation where I am currently working 4 ten hour
I have a situation where I am currently working 4 ten hour days to help to reduce daycare costs. I'm up for a promotion but I can't accept it because the next level is a salary position so I can't wor… read more
Infolawyer
Infolawyer
Lawyer
Doctoral Degree
12,335 satisfied customers
There's a situation at my job that makes me feel like they
Hi, there's a situation at my job that makes me feel like they are trying to shame me or make an example of me … read more
Infolawyer
Infolawyer
Lawyer
Doctoral Degree
12,335 satisfied customers
I have been working for this company for 14 years, the last
I have been working for this company for 14 years, the last four I was the main supervisor on my shift. Now they replaced me with a young guy. I am 63. anyways this kid doesn't treat me good so I aske… read more
Allen M., Esq.
Allen M., Esq.
Employment Lawyer
Juris Doctor, Cum Laude
12,976 satisfied customers
Attempting to explore recourse after a demotion and pay cut
Attempting to explore recourse after a demotion and pay cut as well as relocation with no documentation or actual explanation for demotion … read more
Allen M., Esq.
Allen M., Esq.
Employment Lawyer
Juris Doctor, Cum Laude
12,976 satisfied customers
I was recently demoted at work, taking a 20% pay cut. At
I was recently demoted at work, taking a 20% pay cut. At this point, my employer has refused to provide any documentation or data as to why. I have had no corrective action or similar in the 3.5 years… read more
Dwayne B.
Dwayne B.
Juris Doctor
28,766 satisfied customers
How can I qualify for unemployment in GA if my current
How can I qualify for unemployment in GA if my current employer is eliminating my current position and offering me another position with a significant pay cut? … read more
Law Educator, Esq.
Law Educator, Esq.
Attorney
124,228 satisfied customers
I want some advice on how to deal with my 20 % paycut after
Hi, I want some advice on how to deal with my 20 % paycut after working for this company for 2 yrs and 3 mos … read more
Infolawyer
Infolawyer
Lawyer
Doctoral Degree
12,335 satisfied customers
I accepted a retention bonus in the amount of $5000. The
I accepted a retention bonus in the amount of $5000. The agreement I signed with my employer said I would be responsible for the net amount paid to me if Ieft employment before on year which I did. To… read more
TJ, Esq.
TJ, Esq.
Juris Doctor (JD)
11,344 satisfied customers
After receiving a higher rate for years my wages have been
After receiving a higher rate for years my wages have been cut approx 20% with no explanation I have just turned 66 … read more
socrateaser
socrateaser
1,031 satisfied customers
I was on FMLA, I returned to work and was asked to change
I was on FMLA , I returned to work and was asked to change shifts to give some training. After the 2 weeks I was suppose to return to my position. Instead I was taken into the office and told I was be… read more
Allen M., Esq.
Allen M., Esq.
Employment Lawyer
Juris Doctor, Cum Laude
12,976 satisfied customers
My position was illiminated throughout the company and we
my position was illiminated throughout the company and we have 1yr to collect the wage we were making and then after that we take an enormous pay cut to go part time or if there is something full time… read more
ScottyMacEsq
ScottyMacEsq
Doctoral Degree
17,837 satisfied customers
I have a Transition Agreement and Release with my company
Hello, I have a Transition Agreement and Release with my company due to restructuring my position was going away. I applied for and obtained another position within the company. They have paid out the… read more
Phillips Esq.
Phillips Esq.
Attorney
JD
19,564 satisfied customers
I had question about retention bonuses in the state of
Hi I had question about retention bonuses in the state of California … read more
Ely
Ely
Counselor at Law
Juris Doctor
266 satisfied customers
I have been demoted with a pay cut but have the same
I have been demoted with a pay cut but have the same responsibilities. All because of hear say about job searching. When does this become illegal.… read more
LegalPro54
LegalPro54
Doctoral Degree
1,258 satisfied customers
I have a question regarding a retention bonus that i have
Hi I have a question regarding a retention bonus that i have with my current employer but i am considering another company's offer. … read more
LegalKnowledge
LegalKnowledge
Juris Doctor
29,817 satisfied customers

DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.

The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).

DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.

The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).

Show MoreShow Less

Ask Your Question

x