Legal Question in Employment Law in Iowa

Walmart Corporate Policy

My fiance works at our local Walmart. They have a new corporate policy that does away with his position. This requires him to find a new position within the company that fits his schedule. Almost all of these positions force him to accept a pay cut. Is it legal for walmart to force people to take a pay cut because of a corporate decision to faze out a position?


Asked on 4/18/06, 2:53 pm

1 Answer from Attorneys

Keith Stern Shavitz Law Group

Re: Walmart Corporate Policy

We do not practice law in Iowa and cannot provide an opinion on any specific State law that may exist there, but neither Florida law nor federal law would prohibit a company from eliminating a position or terminating an employee under the facts you've explained, and I don't believe Iowa law would be any different (absent additional facts). The general rule throughout most of the U.S. is that employees are "at-will," which means an employer is free to terminate someone's employment for any reason at any time--which could be a good reason, a bad reason, or no reason at all--and which necessarily means that the company can reorganize positions in its organization as it determines.

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Answered on 4/19/06, 10:49 am


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