reduced hours / pay at work

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a boardman

Original Poster:

1,316 posts

201 months

Monday 13th June 2011
quotequote all
Just got back off holiday to be informed that there is going to be a 20% reduction in pay, and ending of 3 temp contracts (who were all in work today ?)

I have found out that the rest of the company was informed of this last wednesday, and when I asked when the reduction in hours would be from I was told in effect from last tuesday,

I would of thought there should of been at least a months notice or at least to come effect from begining July (3 weeks).

And no written confirmation of this has gone out to anyone yet, and no confirmation if we are working a 5 day or 4 day week.

What is the correct legal way this should be delt with.








edc

9,238 posts

252 months

Tuesday 14th June 2011
quotequote all
a boardman said:
Just got back off holiday to be informed that there is going to be a 20% reduction in pay, and ending of 3 temp contracts (who were all in work today ?)

I have found out that the rest of the company was informed of this last wednesday, and when I asked when the reduction in hours would be from I was told in effect from last tuesday,

I would of thought there should of been at least a months notice or at least to come effect from begining July (3 weeks).

And no written confirmation of this has gone out to anyone yet, and no confirmation if we are working a 5 day or 4 day week.

What is the correct legal way this should be delt with.
Does the 20% pay reduction go hand in hand with the reduction in working hours?

If the employment contracts have lay-off or short-time working clauses in them then naturally they can be enforced and applied. This would cover any reduction in pay too. Without express terms you are in the realms of relying on other agreements via Union or other.

You should bear in mind that this is possibly an alternative to a redundancy programme and given that they are retaining heads it may be implied there is an expectation that business will revive to regain full capacity/productivity. If the reduction in work was longer term then I would cut the heads rather than reduce hours or pay. Anything which is non-contractual is a variation in terms and conditions and the appropriate agreement need be sought.