Company reduced my pay without telling me?

Question

I was making $2000 per 2 weeks paycheck ($4000 a month) for the entire year of 2020. Then my last 2 paychecks from December, they were only paying me $1800 per 2 weeks ($3600 a month). I have no clue why. I worked the same exact hours (40 hours a week like I always do), yet my paycheck was $200 less per 2 weeks. Is this legal? I signed a contract agreeing to a certain salary, is this breach of contract?

Anonymous · Answer

When you get holiday pay the hours paid won't contribute to overtime.

StephenWeinstein · Answer

That's a reduction of exactly 10%.

I don't think they reduced your rate of pay ($/hour).

They probably paid you for 9 days / 72 hours instead of 10 days / 80 hours.  Maybe because of the holidays.

? · Answer

We don't know, perhaps review your contract again and see if it says salary would or could be adjusted without prior notice? Is your check being garnished? U have direct bill pay coming out? Or did u adjust or change your w4 having more tax taking out. Did you choose not to have taxes taking out before or ss tax taking out last yr? Maybe company is deducting taxes now, like state, federal, ss tax.

A Hunch · Answer

We don't know where you live.
In the US, it's unlikely that you signed a "contract".  An employment agreement is not a "contract".

If you mean your net pay is less:
But it likely doesn't matter.
Your pay will be less at the beginning of the year, because you haven't met employment tax thresholds yet.

If you are talking about gross pay, talk to your supervisor or payroll dept.

Company reduced my pay without telling me?

4 Answers