last paycheck reduced for failure to give 2-week notice

[Swimbeak]

What is the name of your state (only U.S. law)? Texas

Hi all,
I have 2 different scenarios (both which are currently happening at 2 separate companies) that directly correlate to the same issue - giving a 2-week notice when resigning. Id like to share both of these, as I am curious about the legality of both.
2 different companies - same industry:
Company 1: An hourly employee resigns, but is unable to give a full 2 week notice. The employee is told that his wages will be reduced to minimum wage for his last paycheck (even though he makes well over that).
Company 2: An hourly employee gives a one-week notice and is told that $150.00 will be deducted from his paycheck for failure to give a full 2 week notice.

I am particularly interested in the scenario for company number 2, as it is currently happening to an employee under my supervision. I have also had employees experience the scenario under Company number 1 from a former employer. Neither of these things seems legal. Has anyone heard of this and do you know if it is legal?

[Antigone*of*Greece]

Originally Posted by Swimbeak

What is the name of your state (only U.S. law)? Texas

Hi all,
I have 2 different scenarios (both which are currently happening at 2 separate companies) that directly correlate to the same issue - giving a 2-week notice when resigning. Id like to share both of these, as I am curious about the legality of both.
2 different companies - same industry:
Company 1: An hourly employee resigns, but is unable to give a full 2 week notice. The employee is told that his wages will be reduced to minimum wage for his last paycheck (even though he makes well over that).
Company 2: An hourly employee gives a one-week notice and is told that $150.00 will be deducted from his paycheck for failure to give a full 2 week notice.

I am particularly interested in the scenario for company number 2, as it is currently happening to an employee under my supervision. I have also had employees experience the scenario under Company number 1 from a former employer. Neither of these things seems legal. Has anyone heard of this and do you know if it is legal?

Is this homework?

[Swimbeak]

Originally Posted by Wirelessany1

Is this homework?

No, this is serious inquiry into a real situation that is currently happening.

[ecmst12]

The first is legal as long as the employee was informed of this policy ahead of time (such as if it is in the manual). The second is most likely not.

[Underdog1964]

Pay reductions may never be retroactive. I think that should sufficiently answer your questions.

[ecmst12]

And if the employees are informed of the policy prior to resigning, then it's not retroactive.

[pattytx]

ecmst12 has it right.

[Underdog1964]

Let's analyze the question once again, shall we?

Originally Posted by Swimbeak

Company 1: An hourly employee resigns, but is unable to give a full 2 week notice. The employee is told that his wages will be reduced to minimum wage for his last paycheck (even though he makes well over that).

The employee resigns with less than a full 2 weeks notice. He is informed that wages on his last paycheck will be paid at minimum wage. To answer this question with a simple "yes, this is permissible", is inaccurate. Any wages earned on the last paycheck, prior to the notification of the reduced pay rate, cannot be reduced. Pay may never be reduced retroactively.

No need to thank me for the explanation. It's all in a day's work as a superhero.

[pattytx]

Originally Posted by Underdog1964

Let's analyze the question once again, shall we?

The employee resigns with less than a full 2 weeks notice. He is informed that wages on his last paycheck will be paid at minimum wage. To answer this question with a simple "yes, this is permissible", is inaccurate. Any wages earned on the last paycheck, prior to the notification of the reduced pay rate, cannot be reduced. Pay may never be reduced retroactively.

No need to thank me for the explanation. It's all in a day's work as a superhero.

Let's analyze the answer once again, shall we?

If the employees are informed of the policy prior to resigning, that is sufficient notice. Once the notice is given, even if the pay decrease only kicks in upon the occurrence of a particular instance (i.e., 2 week's notice not given), that IS prior notice. The notice does not have to occur in close proximity to the action that causes it to be applicable.

[Underdog1964]

Originally Posted by pattytx

Let's analyze the answer once again, shall we?

If the employees are informed of the policy prior to resigning, that is sufficient notice. Once the notice is given, even if the pay decrease only kicks in upon the occurrence of a particular instance (i.e., 2 week's notice not given), that IS prior notice. The notice does not have to occur in close proximity to the action that causes it to be applicable.

You are making stuff up now. There is no indication that such a policy was established prior the employee quitting, so I will not even touch on this unless I know it existed.

[ecmst12]

Which is why, when I answered, I specified that the employee would have to be made aware of the policy sometime prior to resigning, in order for it to be legal. If the policy is not in the handbook and employee was never made aware of it at any time during his employment, then no, it's not legal. Read what I write before you argue with it.

[pattytx]

Perhaps a definition of the word "if" will help.

If
conjunction 1. in case that; granting or supposing that; on condition that:

Synonyms:
1, 2. If, provided, providing imply a condition on which something depends. If is general. It may be used to indicate suppositions or hypothetical conditions (often involving doubt or uncertainty):

[Swimbeak]

I have found a form regarding the issuance of uniforms from my employer that reads, "if an employee resigns without giving a 2-week notice or is terminated with cause his final paycheck is subject to a $150.00 deduction or his final wages will be reduced to minimum wage, whichever is less". The policy also requires that uniforms issued be returned before pick of of the final paycheck.

When accepting a job on good faith, one has no reason to think that they would not give 2 weeks notice or be terminated with cause, so at the time, signing the document is irrelevant - other than the fact that it is a condition of employment. In other words, if you want this job, you must agree to this.

Regardless of the employers rights, this does not seem like it is legal (or ethical for that matter). Most employees that are hired are not even aware that they have signed such a document and are not aware of it until they are faced with the situation.

[cbg]

But it is legal. The fact that the employee did not bother to read what they were given on the subject does not change the fact that they received prior notification.

[Antigone*of*Greece]

Originally Posted by Swimbeak

Most employees that are hired are not even aware that they have signed such a document and are not aware of it until they are faced with the situation.

That is a wicked generalization. Shame on the person that signs a document like this and doesn't understand what they are signing.

I wouldn't have someone who couldn't read a simple document take care of one of my customers.