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Salary cut due to outsourcing

by Lisa
(New York)

My company is going to outsource my department over the next 12 months, and is urging all employees to find alternate positions. If I do not find a position comparable to my current salary, am I eligible for severance, or will I be forced to take a significant salary cut and a position that I'm over qualified for?


Of course they are urging you to find alternative jobs because they do not what to pay anyone unemployment benefits for a layoff or a voluntary quit with good cause due to a significant change to the conditions of hire.

There are no laws that force employers to pay severance, unless perhaps you have an employee contract .. such as union employees might have.

As far as quitting this job should your salary be reduced significantly .. then you need to know what may constitute a significant change to the original conditions of hire to determine if you would then have good cause to quit because of the change.

See 1735 under voluntary separation.

And while you're at it .. you need to take this opportunity to find out what would be deemed suitable work for you to accept. This would be section 1200.

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