Sign up for your FREE personalized newsletter featuring insights, trends, and news for America's Active Baby Boomers

Newsletter
New

Company Cut Everyone’s Paycheck In Half And Then Offered Advances

Card image cap

Good morning

I work for a fairly large company and the title is pretty straightforward.

Recently, the company switched the HR system or whatever they used and changed everyone from semimonthly to biweekly paychecks. In doing so, the company stated that everyone who is hourly paychecks, despite working 80+ hours, would only be for 40 hours. Salaried employees would not be affected in the transaction. We’d only be paid half of what we’re technically owed. This would be a one time thing.

With that announcement, they said, “hey if this is gonna create a financial hardship for you, let us know so we can see what your options are.” The options were basically “suffer for a bit OR take a payroll advance for the 40 hours we shorted (and technically owe you) from your check and then you pay that money back to us.”

I assume a lot of people went the advance route in order to not fall behind financially. But im just curious, is that even okay or legal for a company to do? Like, this company isn’t one that’s strapped for cash and 100% has the ability to pay its employees 3x over. They cut our paychecks in half and then basically offered the other half (that they technically owe us) to us and wants us to give that money back… even though they technically owe us that money.

I just want to know what possible routes employees could take in order for them to get the money they’re owed and for the company to not take that money back. As far as I know, there were no NDAs or forms that said “take no legal action” or whatever.

edit: added clarification of who is/was affected

submitted by /u/NoKaleidoscope5952
[link] [comments]