What to do if I was unfairly demoted with a substantial pay decrease based on untrue statements of another party?

UPDATED: Oct 1, 2022

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What to do if I was unfairly demoted with a substantial pay decrease based on untrue statements of another party?

I am a full-time employee with a consulting company. I received notification that I was being demoted after a client gave terrible feedback about me subsequent to my declining an offer for full-time employment with that client. Prior to that, the client had been happy with my work and had just extended my contract. My company had never given me any bad reviews or indication that they were unhappy with me. A $30,000 paycut was effective immediately. The basis for the demotion had lies strewn throughout and I was not given any opportunity to defend any of the false allegations. Do I have a legal basis to recover the paycut from the client that lied or from the company that I work directly for?

Asked on March 26, 2018 under Employment Labor Law, South Carolina


M.D., Member, California and New York Bar / FreeAdvice Contributing Attorney

Answered 4 years ago | Contributor

Unfortunately, unless you have prtoction agains such a wage decrease under the rers of n employment ocntrat or union agremnt, you have no claim here. The fact is that a company can set the conditions of employment much as it sees fit (absent some form of legally actionable discrimination). This includes when and why to mandate a salary reduction. In fact, such an action can be made for any reason or no reason at all, with or without notice.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

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