Can My Employer Reduce My Pay?

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You may have grown accustomed to, a budgeted accordingly for, a set paycheck each week, every other week, or what have you. But all your planning may be thrown drastically off course if your employer decides to cut back your earnings. Understandably, this may be a stressful and confusing situation for you. So if this is your case, please continue reading to learn whether your employer can reduce your pay and how an experienced Gloucester County wage and hour lawyer at The Vigilante Law Firm, P.C. can help you receive the paychecks you are entitled to.

Is my employer allowed to reduce my pay?

Above all else, you must understand that New Jersey is an at-will employment state. This means that your employer can cut your wages without cause. This is so long as they give you advance notice of it. Plus, this wage cut cannot be made retroactively for any time you have already put in. Importantly, your employer reducing your pay cannot lead to a violation of any state or federal laws. For example, your pay rate cannot be reduced to lower than the state of New Jersey’s enforced minimum wage of $15.13 per hour, as of 2024.

What if my employer reduces my pay as a form of retaliation?

It may be frustrating that your employer, by law, can cut your wages without giving you a valid explanation. But what may be all the more frustrating is if you believe your employer cut your wages for an unfair, unlawful reason, namely as a form of retaliation. If retaliation better explains your circumstances, you should not be expected to stand idly by and accept these new, unjustifiable paychecks.

Notably, our firm has seen many cases where employers reduce pay to punish an employee for filing a wage theft complaint. Specifically, a wage theft complaint may be constituted if your employer fails to adequately or fully compensate you (i.e., fails to meet minimum wage standards, fails to pay on time, etc). So, it can be said that your employer just continues to improperly compensate you and further commits wage theft if they lessen your compensation after this complaint is made.

Again, if this is more relevant to you, you may be eligible to file a workplace retaliation claim against your negligent employer. For your claim, it may be helpful if you have evidence that your employer cut your wages within 90 days of when you filed a wage theft complaint. Then, your employer may have little to no proof that they cut your wages for any other explanation, let alone a legally acceptable one.

At the end of the day, if you have any lingering doubts about your wage and hour dispute, one of the skilled New Jersey employment lawyers can help relieve them. So whenever you are ready to get started, please reach out to The Vigilante Law Firm, P.C.

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