Boss slammed for ‘absolutely crazy’ new work policy threatening pay cuts for employees who quit

A boss has been slated for trying to introduce an “absolutely crazy” new work policy that forces employees to take a pay cut once they give their notice.

The email from the employer, which was sent anonymously to entrepreneur Ben Askins, states the employee handbook would be updated to require a three-month notice period to reflect how long it took to train staff.

“You will give three months notice and train your replacement in the meantime, and your three months’ notice will serve as your consent for your base pay to be lowered by $6 per hour,” it says.

“Since you will be leaving, your reduction in pay should be no issue. That’s how this works from now on.”

The boss blamed the change on the workers’ “insubordinates”, saying they were also to blame for the extra 30 hours of weekly overtime everyone would be assigned until replacements were found and trained.

“I expect full cooperation from this team moving forward,” they said.

Askins, who regularly calls out toxic bosses online, slammed the email as “bats*** crazy” and in breach of employment laws.

“I don’t know how else to describe it,” he said on Instagram.

“You can’t just update a handbook and expect that to replace a contract people have signed previously.

“You need to get people to agree to lower their salary you can just unilaterally decide that.

“You can’t just add loads of hours and then blame everyone for it.”

He said he would have loved to understand what type of response the employer expected to receive to such a message.

“A universal, ‘Yes, boss. Of course, thanks so much for this opportunity’,” he joked.

“This is just going to trigger the biggest mass exodus you will ever, ever see.”

Other people echoed this sentiment, telling Askins they would quit ASAP.

“I think he should be expecting a call from HR before exiting the business,” one person said.

“I wouldn’t even give two weeks at that point. Just stand up, walk out, and not go back,” another said.

A third added: “I’d just smile and nod all the way to the solicitor’s office when I decide to resign.”

What are Australia’s rules?

In Australia, generally an employer cannot change the terms of an employment contract without the employee’s agreement.

If employers reduce a staff member’s pay without their agreement, they could be in breach of contract.

According to the Fair Work Ombudsman, an employer can only deduct money from a worker’s pay if the employee agrees in the following circumstances:

• The employee agrees in writing and it’s mainly for the employee’s benefit
• It’s allowed by a law, court order, or Fair Work Commission order
• It’s allowed under the employee’s award
• Or it’s allowed under the employee’s registered agreement and the employee agrees to it.

“An employee can make a one-off written authorisation that gives their employer permission to deduct money from their pay, even where the amount can change from year to year. It can be withdrawn by the employee in writing at any time,” Fair Work states.

“An employee’s written agreement to a deduction must be genuine. An employee can’t be forced to agree to a deduction.”

According to the Fair Work, the limited circumstances where an employer can stop paying a worker or reduce their pay can include:

• Where an employee has been stood down because there is no useful work due to events beyond the control of the employer
• Events such as severe and inclement weather where it is unreasonable or unsafe to continue work
• Or when a natural disaster affects a business.