Quote:
Originally Posted by JSH
Well we have seen the first real effects from COVID 19. My wife’s company just had an all staff meeting to announce the company’s COVID 19 “Stimulus” plan. It took an hour to say what could be said in 1 minute. No bonuses this year and company wide pay cuts on a sliding scale from 0-25%. People making less than $65K have no cut and it progressively increases from there. No slow down or reduction in hours. They didn’t let any contractors go and they keep their full pay.
How brain dead do you have to be to call a pay cut a “stimulus”?
We will be fine and a sliding scale makes a lot of sense. However nobody is happy that the company decided to cut employee pay before letting the contractors go.
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Maybe the contractors are essential, or they have contracts that are expensive to break (or perhaps neither is true and they should have been cut)?
I think it was back in 2008 or 2009 the factory I worked at furloughed everyone for 2 weeks at 2 different times during the year rather than lay people off. Seemed the right thing to do in my view, especially since it retains those people for when production capacity needed to ramp back up. No need to train new people.
Once I had a boss say "good news"! You all are getting a raise. The catch was that we were losing our quarterly bonuses, and the raise didn't kick in until the follow year. So the first year, we all effectively got a pay cut, the second year we were back up to our previous pay, and the 3rd year we got a 4% raise, which probably just covered inflation for that year. He was a salesman, so he could keep a straight face while delivering the good news. Meanwhile, we all knew how to do math. He stuck to his guns (it's a raise), we stuck to ours (it's a pay decrease).
The owner has the right to change the terms of employment including canning me, and I have the right to walk away (I did once, but was given a 25% pay increase to stay). I consider it a fair arrangement.