Unilaterally reducing your salary is illegal. Photo: iStock The employee is not obliged to accept an agreement if it is imposed unilaterally by the company. If the company wishes to apply the discount without the employee`s consent, it must use one of the other methods indicated in this article and always comply with the legal limits and requirements. The RSA requires that the payment of the salary due be made on the normal pay day that covers that payment period. It is illegal to make deductions from wages for lack of money or goods, to purchase employer-required uniforms and for the cost of craft tools, if these deductions reduce the employee`s wages to a rate lower than the minimum rate required by the RSA or if they reduce the amount of overtime pay due under the RSA. If a period other than the week is used as the basis for determining wages, weekly earnings must be determined to calculate the regular rate and overtime pay. If the salary is two weeks, multiply it by 24 and divide the product by 52 weeks to get the weekly equivalent. The monthly salary must be multiplied by 12 and the product divided by 52. Hello, in my company, I have verbally agreed on a net salary of 1200 euros in 14 installments. But of the 2019 payroll now in January 2020, the sum is the same. But I see that they have reduced my brutality.

The excuse I was given was that income tax deductions were reduced. Can you do that? Is it legal? I want them to leave me the gross and retention the same, and if they do, I benefit from the yield collection because they don`t raise the CPI. Is it also a voluntary increase in the CPI? Isn`t it mandatory even if you exceed the interprofessional minimum? Greetings For this amendment to be legal, it must be done in good time, otherwise it could be declared null and void. In this sense, the employer is obliged to notify both the party concerned and his legal representatives of the amendment to the contract at least 15 days before the date of entry into force of the wage reduction. Example: The company decides to sanction Ramón without reason with a 20-day suspension of employment and salary. This saves 2/3 of the monthly payroll. Ramon has 20 business days to appeal the sanction since he received the letter. If the deadline has expired and you do not contest, the penalty is set and the company has saved the salary of those days. There are voluntary exceptions that you should be aware of.

Would you want to deviate from your salary to change positions? On the other hand, the possibility of making this change legally does not mean that the employee necessarily has to accept it. In particular, the employee has the possibility to respond with three options, to accept the decision, not to accept it and to challenge it before the social court, or not to accept it and to terminate the employment relationship. In the latter case, the employee would be entitled to an allowance of 20 working days per year with a maximum of 9 monthly payments and can apply for unemployment benefits. The company doesn`t have a collective agreement, which means the company can go down from €1838 to €1300 or minimum, which I can do if I don`t want to lower my salary as much as the deal says we have to earn an amount. However, the company is on the verge of bankruptcy and proves it. As a result, workers` wages fall or close. He agrees with the employees, establishes the contract and applies the discount. If there is no pact, there is no hook.

This happens when the company, without following any of the legal forms, begins to pay employees less. That is, the wage increases stipulated in the collective agreement have absorbed the 5% increase that you have had. But I still doubt that your salary has been reduced or simply not applied. In any event, we would have to see what is in the agreement to see if the wage increases can be compensated or absorbed. Hello, I have been working in my company for 5 years, in the last 2 years the work has grown a lot and I asked that they integrate a new person to help me. Without telling me, they told me a few days ago that they had hired a person who would take over some of my work, and therefore that they were going to reduce my annual salary by 10%. Is it legal? What options do I have? I am presented with a reduction in the individual salary, which on the one hand claims bad economic results of the CIA (not my person, I am a salesman) and adjusting the wages because there are different wages for the same (commercial) work. In my case, I am a shop steward and I would like to know the compensation in case of dismissal. Even if there is an upper limit (%) of the wage reduction or if it is the employer who sets it.

The employer is obliged to inform the employee and his legal representatives at least 15 days in advance of the date of their entry into force, unless otherwise specified in the agreement. We`ve explained the legal ways a company can reduce a salary, but it can happen that it uses other modes: Hello. The company made me an offer to become a factory manager for a ridiculous salary, I told them that for this salary no, but during the selection process I took over the position of manager for two months. Now they`ve hired a former manager and I`m supposed to be back in my position. I was not told the economic conditions, the boss himself, before he became “director”, confessed to me that I was paid little at the time. The salary has been “increased” as a gross supplement without specifying anything else and my contract as an environmental worker continues. My question is: Can I reduce my salary to what I used to pay? Without me being able to refuse it? If I reject it, could it lead to a voluntary withdrawal? Thank you very much. In this case, it would not exactly be a pay cut, but a “no pay increase”.

Some collective agreements may stipulate that certain premiums are compensable and absorbable, which means that if other salary concepts are increased, this increase will be offset by the reduction of other bonuses. They began to reduce the salary from the April 2020 pay slip without communicating in writing. Can I make a claim? All companies that were founded on 31. March 1990 was within the scope of the RSA and is no longer part of it due to evidence of a revised turnover of $500,000, will continue to comply with overtime pay requirements and the provisions of the Minors Employment and Pay Act. The company can sanction an employee with suspensions of employment and salary. In this way, the worker does not have to go to work and the company does not have to pay him the wages of this time. It is a fraudulent method of suspending an employment contract and reducing the wages that must be paid. Hello, I have been in my company for 25 years and more than 13 years in the same category, now we have changed category, but we have reduced individual supplements by more than 80%, perform the same activity and at the same time it is legal? The main method of legal amendment of an employee`s contract is to use Article 41 of the Workers` Statute, which refers to substantial changes in working conditions. The scheme allows for a reduction in remuneration provided that “economic, technical, organisational or production-related reasons” are justified.

Those relating to competitiveness, productivity, technical organisation or work in the undertaking shall be considered as such. These causes would justify, among other things, changes in the remuneration system and the level of wages. The company verbally offered me a small fixed salary increase and a significant reduction in variables. Overall, it would remain at 15% less when calculating the 2 concepts. The company has no economic problems and there is no technical, organizational or productive justification. If I do not accept the new conditions and can continue the business, could I lose because the fixed part is increased? Is there any case law on that? A lower salary can be agreed if in advance “the employee voluntarily accepts a reduction, either because there is another position that is vacant and more to his liking, even if he has a lower salary.