Your rights: Pay rise cut short

By RICK HARGREAVES of Phillips Fox

Q. I have been working for the same company for three years and not once had a pay review - in fact I have had a pay cut. I originally started working at this company on the night shift and was getting a $60 a week allowance for night shift as in my contract. The company put me on the day shift and told me that they would look at my salary to incorporate the allowance so I did not have a reduction.

This company has had a change of manager three times and every time I ask the new one about my pay review I get the same thing over again: that they will look into it and come back to me - then they leave. They have also changed my work hours to 40 when my old contract states 45 hours. I have not had a new contract drawn up even though I am on day shift and my conditions have changed.

A. Pay increases are not usually a contractual right but a matter of negotiation. However, pay cuts are a different matter. Usually, an employer cannot make a unilateral change to an employee's wages and hours of work. But your employment agreement may allow for changes to your hours of work or your shifts. You should check this.

If you did not agree to the change in shifts or to the reduction in hours, and your employment agreement does not allow your employer to do this, you will have a claim against your employer for disadvantage (reducing your hours of work and changing your conditions of employment) and for arrears of wages.

You may also be able to pursue a wage arrears claim for the allowance that the company told you they would incorporate in your salary. Your success in this claim will depend on the proof you can muster to show an agreement to incorporate the allowance in your salary.

You should try to contact the company representative who promised you this and obtain a signed statement. Your best approach is to write to the person in your employer's company who deals with pay issues. In your letter, state what has occurred and what was promised, and outline your attempts to have these matters addressed.

State that you are now raising the issues as a wage arrears and disadvantage claim, that you hope that the matter can be resolved amicably, and ask for a written response within the week.

You should also ask your employer to confirm in writing your present terms and conditions.

Department of Labour


Employment Relations Service

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