OK Guys, some advice please...
The company I work for has recently announced a 5% paycut for all employees. Our US colleagues will see their pay cut immediately; however employment law here states UK employees must give their consent to any cut in pay...
Apparently there will be no coercion applied by the company; and employees are entitled to freely decide yes or no. The risk, the company says, is that if not enough people sign up, there will be more redundancies (there have already been a few thousand...); and even with enough pay-cuts they cannot guarantee future redundancies. There has also not been any information about how/when pay might increase back to (and beyond (?)) its current level; however they have said that should targets be met, there may be the opportunity for performance related bonuses...
Unofficially rumours are starting that those who say no to a cut in pay will be at the top of the redundancy list should it happen in the future. Now, those saying no cannot be discriminated against, but I'm sure the company would do whatever it could to legitimise any redundancy it makes.
Now I have been one of the lucky ones in the company, previously receiving some good salary rises (not every year, mind) and a few bonuses. The question is should I volunteer for a 5% cut in pay?
I am nearly 30, work in the IT services sector and am aware that there is not much work out there at the moment. Redundancy scares me, but also loosing money would make life difficult (I got married last September so lots of bills to pay; and we really want kids sooner rather than later...)
So, what would you do- take a pay-cut Yes or No?
PLEASE HELP!!!
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