Legal Question in Employment Law in California
Can I be demoted for no reason at all?
I am a department manager at a big consumer electronics retailer. The company says that they just want to move people around to different locations to see what it does for business. The moving part is fine, but my title at the new location will change from manager to lead which brings with it a lot less pay. I've been with the company for almost four years, never been written up, never had any problems hitting any budgets or goals; Can they do this? I have a family and cannot make it with the pay-cut. Thank You!
2 Answers from Attorneys
Re: Can I be demoted for no reason at all?
This answers assumes you are a California employee working for a California employer. Unless you can establish an express or implied contract of employment providing otherwise, most California employers generally are permitted to make purely economic business decisions such as the one you describe. On the other hand, even if the employer's decision was facially "economic", if, in fact it was pretextual (e.g., based upon age discrimination), your employer's conduct may be unlawful. You should consult with an employment attorney promptly to discuss the specific facts as it relates to your employment agreement and reasons for a demotion. When discussing this issue with the employment attorney, irrespective of the reason(s) for the demotion, you also may want to examine whether your new employment position is exempt from overtime premium payments.
Re: Can I be demoted for no reason at all?
Yes, this is legal.
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