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About Shirley McAllister, CPP, PHR
Expertise
I can answer payroll questions, payroll tax questions, 401K questions. No stock option questions please and I have some knowledge of other pensions but am most familiar with the 401K pension. I can answer U.S.and Canada payroll questions proficiently and have a good general knowledge of UK and South Africa and some knowledge of Australia and New Zealand Payroll procedures. Please do not ask me homework questions I do not have time to answer them.

Experience
25 years with an international company in the Human Resources, Payroll and Payroll Tax areas.

Organizations
SHRM, APA, I.O.M.A.

Publications
I.O.M.A. and BNA

Education/Credentials
P.H.R., C.P.P., Canadian Payroll Administrator, Successfully passed APA class on UK Payroll Administration. Boise State University Human Resource Certification

Awards and Honors
APA Hotline Citation of Merit for last 8 years.

 
   

You are here:  Experts > People/Relationships > Retirement Planning > Accounting, Payroll & Pension Issues > Hourly pay reduced

Topic: Accounting, Payroll & Pension Issues



Expert: Shirley McAllister, CPP, PHR
Date: 3/25/2008
Subject: Hourly pay reduced

Question
Two and a half years ago I was on medical leave for 3 weeks due to rotator cuff surgery.  When I returned to work, the company (privately owned) had instituted a new payroll rate and reduced my hourly wage by nearly $1.00.  Can they legally do this since I did not leave the company but was on medical leave?

Answer
I guess I have to ask why are you just now asking if it happened 2 1/2 years ago.  Did they reduce your pay 2 1/2 years ago or just now?

Were you on FMLA leave and did you return and do the same job or did you return and do a different job due to an accommodation for a disability? Perhaps at a lower paying job.

Did the company lower the wages for all staff in the company as a restructuring or reclass action?

All of these could have a bearing on why the pay was lowered. There are many reasons why they would do this. If there is no reason and you were on FMLA leave than it should not have been done. Being out on leave should not cause a pay decrease in itself unless there are other factors involved.

If it is just now reduced and the leave was 2 1/2 years ago than it would have no bearing on the leave. It could possibly be for a bad performance review, a demotion, a reclassification of your job description, or an overall cut back in pay for all workers.

You need to go talk to your HR department and ask about it, there could have even been a payroll mistake that did not get corrected.

Shirley  

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