Quick! Help! Raise given then taken back.

Cherrye

A part-time houly employee was given a $2.50 per hour raise. The following week he took another part-time job which limited his availability to us. Our GM recinded the raise (told payroll department not the employee). Is this legal?
I advised against this, but was over ruled.

smaces_twin

It is legal unless some sort of discrimination can be proved. Sounds like a stretch to that, but you never know, they may meet a bored lawyer.

From a moral standpoint, it is a terrible thing to do. It could have been dealt with in other ways.

Now if the boss gave them the raise contingent on them being available, then that's another story. I'm guessing that didn't happen, though.

DeniseR

I think it was also a bad thing to do but not illegal especially since obviously your raise was because of the valuable work that part timer offered. If they are cutting back on hours now, you may not get the same level of work. However I wouldn't have taken it back, just maybe sat down and explained how the company feels but also stating the fact that since she was told about the raise, you will still honor it.

marc

Yes it is legal. Could it have been handled differently? Yes, the person who gave the EE the raise should have also been the person who took it away, and the reasons should be laid out then. It is an understandable company position. The EE's circumstances changed which impacts how effective they are to the organization. The EE should understand that. If the EE does not like it, they can vote with their feet and move on.