Good morning HR Managers,

I’ve been noticing a worrying pattern and would like clarity.

Candidates complete the hiring process, agree on a salary, and receive an offer. But shortly after resumption, sometimes within a week, they’re told their salary will be reduced. The reason given is that the amount is now tied to performance or confirmation. I’ve seen several cases recently.
What is driving this? Is it becoming standard practice, or are we normalizing something that erodes trust from start?

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This is illegal. A signed offer letter with firm compensation much be abided by and cannot be lessened without a newly signed offer letter with employee consent to the pay reduction. Contact your local bureau of labor and file a claim.

likehelpful

This is illegal. Contact your local Bureau of Labor to file a claim and be ready to cover yourself by getting a role elsewhere - hopefully with a company whose leaders have integrity.

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Pretty sure that employment offer that was signed would be grounds enough for a lawyer to sue the company. Sounds like breach of contract to me.

That’s a direct violation of the employment contract, 100% not normal, and I’d be running for the hills from a company like that.

Overall, what I’m seeing is a general trend toward low-balling new talent because businesses layedoff a ton of people and companies know they can get a discount when someone is desperate for work. I definitely don’t agree - but companies are trying to shift the balance.

However.. the situation you explain is a literal bait and switch. That company needs to watch out, someone is going to lawyer up, go to the media or flame them on social media (maybe all 3) - and it’s going to cost them WAAAAY more to fix the image issue than paying people fairly.

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Agree with everyone else. With a sighned offer letter and without a documented reason for the demotion or reduction in pay, that is a negative employment action without cause and is illegal. Report them if terminated, sue for retaliation and lost wages.

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