Legal Question in Employment Law in California

If my company was bought by another company and they keep the same rate of pay then 3 years they say that they are changing our rate to the new company rate. Is there a grandfather rule where they can only change the rate of pay for new hires. They should not change the employee that have been that rate of pAy for 3 years?


Asked on 4/22/14, 8:16 am

1 Answer from Attorneys
Charles Perry Law Offices of Charles R. Perry

I assume you are an at-will employee under California law.

Under this assumption, there is no such grandfather rule. The company has a right to increase or reduce an employee's wages as it sees fit, regardless of the employee's seniority. The only exception to this is if the decrease in pay constitutes unlawful discrimination on the basis of race, gender, or other protected status.

Read more
Answered on 4/22/14, 10:50 am


Related Questions & Answers

More Labor and Employment Law questions and answers in California