Unpaid wages?

[mt10rose]

I had my salary reduced by 15% back in October 2009 and I signed an agreementI that the15% of my wages would go into an account to be paid back to me when the company turns a profit. I was laid of recently May 21, 2010 due to cut backs related to the economy and would like to know if those wages should be paid back to me now since I am no longer working with the company?

 

[Patricia_Young]

Only an attorney in your state who has reviewed the agreement in full could tell you. It is not a wage and hour law issue, it's a contract issue.

 

[army judge]

Only an attorney in your state who has reviewed the agreement in full could tell you. It is not a wage and hour law issue, it's a contract issue.

You are 100% correct.

If its anything, its a creature of contract law.

It might not even be a valid contract.

The EE agrees to forgo 15% of his/her wages for the ambiguous promise to be repaid, IF the company turns a profit.

We don't know If there was a certain time-frame specified to be profitable, and we don't know what happens IF the company never turns a profit.

Yet, we do know the EE gives up 15% of his/her promised wages.

This takes me back many eyars to contracts law. YUCK!

I digress.

For the OP, estoppel and detrimental reliance may be put in play.

Patricia, I'm sure you've seen it, I have.

Employer's trying to be too precise, and crafting legal agreements (contracts, by any other name); that open them up to greater scrutiny and increased liability.

The OP should speak with an attorney. ASAP.

An employer doesn't need consent from the EE to cut wages.

The employer need only inform the EE of the wage cut.

The EE can either keep working, or resign.

But, this silly, useless THING, masquerading as a "contract" has opened up a great, big, can of "whup*ass".

 

[Patricia_Young]

Yeah, I agree it may not even BE a contract.