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M

moregon

Guest
State of Oregon... an At-Will Employment State

I've been employed for 3 years by this employer, and although my position has changed over the years, my full-time assigned hours have always been 60 hours per week. This last Wednesday my boss called me into his office, to inform me that his business is losing money, and some drastic cuts need to be made. The cut he made at that time, was to reduce me from 5 days and 60 hours a week, to 5 days and 45 hours a week. The reduction of 15 hours of overtime per week, will be reflected as a 34% decrease in income. On Friday he held a meeting with all the employees. The impression I, as well as all the employees who knew about my hours cut, was that he was going to announce more cuts to help defray his losses. It turns out he has taken on a new business partner, who for now has been assigned a low-paying position below mine. There were no other cuts made, or decreases in anyone else's pay.

In reality, during those 3 hours per shift I'm not there, he still needs to have someone fill that position, as it is necessary for the operation of the company. So during that 3 hours, he brings an employee to take spot, which gives him a realistic savings of $10.58 for the 3 hour period. Personally I don't see how this is going to defray his claimed multi-thousands of dollars loss over last year. Not only that, but now that the other position is running short-handed, he didn't even gain the $10.58 but suffered a loss of $30.00 that I'm aware of in the first 15 minutes.

The only thing I can think of, is that he is trying to get me to quit, so he can put his new business partner into my position. My boss knows that at the new rate of income, after I pay my bills, I won't have enough to live on... it comes to less than $2.00 per day to buy food, personal needs, and money to save for emergencies. If anyone here can live on less than $2.00 per day, please let me know HOW!

I have no choice but to quit, however, I would like to know if anyone has run into this before, and if so, was there any legal action you were able to take. Oregon has lead the country in rate of unemployment for years, so finding another job right away may not be easy. I'm hoping that Oregon sides with me, and finds that a reduction of more than 34% of my income, as well as now being in a hostile work environment since I am the only one targeted with losses, is a just reason to quit so that I can collect unemployment based on my old income.

Thanks for any input...
 


cbg

I'm a Northern Girl
Only someone from the Oregon UC commission can give you a definite answer as to whether or not the kind of cut you describe constitutes "good cause" to quit and still receive benefits. You will have to call them and ask. However, I can tell you a couple of things:

1.) Based on the facts in your post, you do not have even remotely close to a hostile work environment. An HWE comes into play ONLY when you are being subjected to either sexual harassment or illegal discrimination under Title VII (race, religion, national origin etc.)

2.) The kind of "targeting" you describe is completely legal. Even if you are 100% correct that he wants you to quit so that he can put his business partner into your position, that is not in violation of any laws.

3.) Unless you have a valid reason to believe that he wants you out BECAUSE OF your race, religion, national origin, gender, disability, pregnancy, or because you are over 40, you do not have a legal case.
 

Beth3

Senior Member
How is quitting and relying on UC benefits going to put more money in your pocket than staying in your current job and looking for another position while you're still working??? I just never understand the posts from folks who say they're not making enough money therefore they're goin to quit. :confused:

By the way, it is unlikely you'll be eligible to receive UC benefits if you quit because your hours were cut from 60 to 45.

Nothing in your post suggests your employer has acted unlawfully.
 
M

moregon

Guest
In many states a reduction of income of 15% or more, is viewed as a justification for a quit for benefits. It's the point that won my benefits the last time I had to file, after a cut of 21% in wages. This current cut exceeds 34% of my income because the hours were all overtime hours. If I were to remain working at the current pay rate, after paying for rent, gasoline for the daily commute, car insurance, monthly payment for a medical bill I'm paying off, and utilities, I will have a total of $1.44 a day to live on. This will not even cover my food let alone anything else.

You ask how I could get more money in my pocket if I went on UC instead of working with the cut in hours. I had received UC Benefits on another job here a number of years ago, that paid less than what this job did, UC benefits are based on a percentage of your earnings. The amount of the checks I received then, exceeds what I'd be taking home now after taxes, by about $20.00 a week. Here, if you are on UC, you automatically get food stamps, I wouldn't have to worry about starving. I'd realize a savings in gas costs for the daily commute, a savings of $80.00 a month. I could hitch a ride to town with a neighbor to look for work on their schedule, and drop the car insurance for the time being, a savings of $60 a month.

I'm sure if my job was a good paying job, I wouldn't be able to do this, but since most jobs in this area are minimum wage jobs, it's not that hard. In this area of the state, if you aren't a lawyer, Doctor, Nurse or other professional, your choices of jobs are in retail, service oriented businesses or agriculture for the most part. All historically known for paying minimum wage, unless you are in management.

My only other option I can think of, is to find another minimum wage job to work 30 hours a week to make up for the lost wage amount. This would bring my weekly hours up to at least 75 hours per week. I'm not a spring chicken and not sure how long I could keep up a schedule like that, and not have it affect my health and well-being. With no health insurance I surely don't want to end up sick.

Whatever I end up doing the main focus is to survive. I'm just tired of working my way out of a hole I've been in for years, and just as I start seeing daylight, someone comes along and pulls the ladder out from under me, through no fault of my own.
 
M

moregon

Guest
I just did a quick search, and the correct term used in many states is, Drastic Cut In Wages Or Hours, are grounds for quitting with just cause. Where this is accepted as a just cause, 15 to 16% reduction is usually the criteria to be determined as drastic. I'm looking at almost a 35% wage decrease because of a 25% cut in hours, I exceed the 15 to 16% on both counts.

Also note, this is also considered grounds as a quit for just cause:

"The employer refused to meet conditions of the hiring agreement, such as hours or wages."

I was hired as a full time employee, and all other full time employees are working 60 hours per week, that is the standard for this company. The relief person for my position, that works in my place on my days off, and the day shift person who holds the same position on their days off, was hired as a part-time worker. They work 6 hours a week more than I do. The person who held this position prior to me, worked 60 hours a week and the day shift person in the same position still works 60 hours a week. That was the criteria for this position that was presented to me, and is why I took the position. Now 2 years later they decide to change the rules for this position, it's not what I was offered, nor what I agreed to work.
 
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Beth3

Senior Member
So if you have all the answers, why are you posting here?

By the way, I don't agree that a 15% pay reduction constitutes a "drastic cut" in wages under most UC reg's. The specific problem you have is that you are still working full-time and then some. Even though your hours and total compensation are less, you are still a full-time employee and your hourly wage has not been reduced.
 
M

moregon

Guest
I was posting here in hopes of finding some legal answer to get my hours returned to their previous level. I prefer not to leave employment there, but I can't live on the amount they are giving me now.

I don't know what kind of income you have, but it's all relative. If you were making $100,000 a year, and it was reduced to $65,000 a year, that would still be a nice living by many standards. Or even $50,000 a year an income drop to $32,500 may hurt a bit, but it's still manageable.

Now take $20,000 gross a year and try to live on $13,000 gross a year. That's what I'm being asked to do. $500 a month is cheap for rent here, that's $6,000 annually. For someone making $32,500 after taxes that's about 25% of their earnings, for me it will be 62% of my annual earnings after taxes. My utilities will now become 12%, car insurance 6%, a medical bill I'm paying on because I have no insurance will be another 12%. That's 92% of my annual earnings and not including gasoline for my car, food for me or money to save for emergencies.
 
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K

krispenstpeter

Guest
If you were making $100,000 a year, and it was reduced to $65,000 a year, that would still be a nice living by many standards.
You're kidding right? $100,000 a year would put me in the poor house in about a month! :eek:
 

cbg

I'm a Northern Girl
In my state, it wouldn't matter a darn what percentage of your income was cut by the hours reduction. Since you are still working 45 hours a week, which is full time by anyone's standards, you would NOT be eligible for UC. Now, if you'd been working 45 hours a week and got cut to 20, you would, because you went from full time to part time. But 60 to 45 would not qualify.

You are free to contact your state UC office and see what they have to say.

Your employer has no legal obligation to return your hours to the previous level, and you have no legal recourse to force the matter. Your income and monetary responsibilities are not your employer's concern. That sounds harsh, I know, but that's the fact of the matter.
 
M

moregon

Guest
Thanks cbg that answers the question that there is nothing I can do to recoupe my lost hours. I did contact the State Office and they agreed that regardless how much of my income was taken away as long as I'm over 40 hours I have no case. I just know I can't survive on this type of income.

krispenstpeter, I want to thank you for making me feel SOOOOOO much better about the amount of money I make.

Then only thing I can do is keep plugging away at finding a job out here, and give notice for the end of the month. If nothing comes up I'll just have to pull up stakes and use that last check to move the 2,500 miles back east to live with family. I won't have enough to pay rent, and my landlords have been good to me, I don't want to cause them any grief.

I really really hate it back there...
 

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