Q: My salary was cut today due to cost saving measures by the company. I signed a contract when I was hired. Is this legal?
Salary was substantially reduced and I was notified via phone call and email. I signed an initial contract stating what my compensation would be and now it is greatly reduced.
A: It depends. If you have an employment contract signed by you and the employer stating that you will receive a specified salary and the employer is no longer paying you that salary, the employer may be in breach of the contract. However, employers routinely send offer letters to prospective employees that outline the level of pay, start date, and other items. If you were given an offer letter, there would be no breach of contract claim.
You may want to reach out to an employment law attorney in your state for a consultation.
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