As the economy continues to get worse and more and more companies are closing the doors,the ones that are not closing are trying to cut costs anyway they can. The automotive manufacturers even mentioned at one point before their "bailout" that they might have to cut their employees wages. Would you willingly take a paycut if it meant your company would stay afloat? I've been thinking about what I would do if I were put in this position and I really don't know. I need the money I make but I also need a steady income. So what about you? Would you willigly take it? Go down fighting? Or would you quit first? All resposes are welcome and will be rated positively.I really want your feedback.
[question posted by JenInTN]
responses and comments:
i would not work for any less than i am worth so no i wouldnt take a pay cut, i would rather loose my job than be used to make a company more money to go in to there managers pockets who are already severely overpaid and dont realy work for what they get not like the shop floor workers and other staff [barbie84]
Thanks for the response barbie84. I wouldn't like it if I didn't think that everyone was getting the same treatment. If my pay was cut I would want everyone's to be cut! [JenInTN]
I had a job earlier this year that at the time wasn't paying me enough money. After a few months I quit as I was doing with my recording studio and figured I'd find another side job. Lo and behold a few months later everything turns around! Now I wish I would have kept that job! Things have changed for the worst so much in the past few months I can use anything I can get. Now I don't have a studio or a job. In short if a pay cut is what it takes to keep your company afloat you might as well keep working until something else comes along. Or best case scenario, the economy improves and you still have the same job. You might get a healthy raise!! [shamsta19]
And thank you for those words. [shamsta19]
it is not that easy to find a new job for as you said companies are closing doors. i would rather get a paycut than to resign and dont know where i am going. it would really affect so much if i will lose a job just because i dont like to have a paycut. so for the mean time i will take that sacrifice and just leave that if i found or there is much better job that i can go to. [se7enthbird]
Thank you for your input on this. I don't know what I would do if I lost my job either. I'm quite thrifty and make extra on the side here and there but in this economy..who knows? A little less may be the better choice. Thanks again. [JenInTN]
I'd take the pay cut to keep my employment while I looked for another job with a more stable company that could pay better. [KatieDidit]
Thanks KatieDidit. I think that is a very responsible outlook. [JenInTN]
If it was a matter of working for a bit less money or not working at all, I'd take the lower wage IF it was across the board, meaning everyone from the owner/CEO on down took the same cut. [Ldyjarhead]
I agree Ldyjarhead. If there is gonna be a paycut,I think it should surely be across the board. I feel a certain amount of loyalty to my company as I have been there several years and the company has done good things for it's employees. I am currently in a management position and if I was willing too..I would expect it from my superiors also.Thank you for your response. [JenInTN]
I'd take the pay cut. In this economy, I'm just happy to have a job! [dawnald]
People all around are feeling the effects of this world wide depression and I am very thankful to be employed. At this point I wonder if we even have a choice.Thanks for responding. [JenInTN]
If I worked in the automotive industry, I would be willing to take a cut to keep my job.. If what I hear is correct, they have very good salaries already and I would be happy to be able to keep my income even if it was a bit smaller.. I bet it would still be more than a lot of us make even with the salary cut.. Jobs are getting very hard to come by now and if you have one, it is best to try and keep it.. If you noticed, the banks didn't do anything like agreeing to a salary cut, if anything, they just spent more, they had more, so they haven't changed their ways at all unless it was to be bigger spenders.. [DonnaLawson]
Heyya Donna! I'm pretty peeved at the way money has been spent among the banks. It would be hard to take a paycut but if it meant my living I guess I would have to do it too. I'm not sure about the automotive workers salaries but I think the CEO's are spoiled rotten with cash. Thanks for responding. [JenInTN]
I've already done it. We had to assume the company wasn't lying to us. It was a pretty big cut too. I forget the exact amount but was around 10 or 15 cents per mile. We were brokers who owned our own truck for a trucking company. It was that or lose the contract. I rationalized it the way some do when they go on strike. Strikers, strike out of principle often. The actual $ gain is often never recovered before the 'next' strike issue comes up. Sometimes people lack the ability to do the math....as surprising as that sounds.. [plunketear]
That's terrible considering the cost of diesal fuel. Was this recent or when the cost of diesal was throught the roof? I understand what you mean about the strikers. Sometimes we just do what we have to do to make it and if it means shaving some money off..well..I guess we have to do it.Thanks plunk! [JenInTN]
i think this year too the economic crisis will grow. there is not much every one can do about it. to be safe i think stick with your job even if the salary get down this year as to get a new job will be very difficult. [legend4u]
Hi legen4u! Sounds llike pretty sound advice. Jobs are disappearing everyday. I guess we should hang on to what we can. Thanks for responding. [JenInTN]
I say keep the job take the pay cut. If for some reason you do find out that maybe someone in your same department doing the same job, did not get one. Respectfully request an explanation from your boss. Getting a new job right now, is very difficult, for the last year, I know people who couldn't find jobs after a layoff, and they got down to applying to be part time pizza delivery driver. Still no job. In this economy, with the way things are it is easier to keep the job you have and continue to get the check that you do. If you go somewhere else, you could end up with the same low pay you would be getting, because you would not be at the top or the middle, you are now the new expendable employee. Secondary to that not taking the cut, being laid off and then having to deal with all the paperwork, and involvement on your part long after you have filer unemployment claim it still hasn't been processed. So now you are stuck with no job and spending the rest of your time waiting. Take the cut keep the job [mjbelluto]
Very intelligent and down to earth response.Thank you for your input.Times are hard right now and even people with master's degrees are feeling the cut as people without assure their livlihood. Thanks for your response. [JenInTN]
hello JenInTN, I think even if I need the money if I can save some co-employees to the company in doing that, why not? I'm willing to do that if I can save some friends in the company to stay and still have a job or work. All of us now a days are a survivors of what is really is happening to the economy world wide. We have our own responsibilities to our family and obligations to pay but still need to help one another to survive. It's really hard, but at least I still have my job and that have my steady income though it lowered a bit. Better than nothing at all. I can tighten my belt and sacrifice some expenses anyway. Things that we need to do in times like this. [robert19ph]
I agree with you robert and sometimes wonder to myself if that will be how we make it through this..even to the point of the farmer trading tomatoes for a service you may provide such as sewing for them. I think these times are really going to seperate some from the others.I think alot of people will realize the importance of give and take. I am very loyal to my company and want to see it survive.I haven't been subjected to this as of yet but who knows? Thanks for responding. [JenInTN]
If I liked the company and they had been good to me in the past- yes I would. If they hadn't I would have to weigh things. See if I could find something else and so forth. Not an easy decision. [celticeagle]
No..it's not easy.Even though you feel loyalty,you also consider your livelihood.Afterall we're not there for free. Thanks for responding. [JenInTN]
Hey Jen, Knowing what I know now, yes I's take a pay cut until I could find something that pays more. Or at least ride it out till things the economy gets better. My hubby has been out of work for a year and a half. And believe me, it's because of the economy. You should hear more stories like this one. I think the depression is close at hand. I pray I'm wrong but I'm very realistic. leenie [leenie50]
Hi leenie. Things do seem to be getting worse. I'm very nervous where my job is concerned. I would take the cut too. I don't know what I would do without a steady income. I hate to hear your husband is out of work. I hope he finds something.I know it must be very hard. Thanks for responding. [JenInTN]
I think I will choose paycut first, it's really hard to find a good job now, so for steady, I will choose paycut, I really wish the economy will come better, now is a really hard time. [kindy198636]
Hi kindy198636. I think that's a good decision. Times are tough and we have to do what we can to make it through. Thanks for responding. [JenInTN]
As i know ,quitting should be the last choice before you have gotten a new offer.Under the worsing economy background,seizing what you have should be more wiser.Don't do the fool thing just like me, i quitted my job and stayed at home, depending on my wife to surpport our family. [camelhjx]
Thanks for sharing camelhjx. Maybe you can find another one when the economy starts to look up. [JenInTN]
that really depends on how much the company will cut my pay and for how long... if it is still within reasonable amount and only temporary, i might stick with the company... it is better to have a job than nothing nowadays... in the mean while, of course i will try to find another job as well... take care and have a nice day... [lingli_78]
Thank you lingli_78. If I were going to have my wages cut alot..I to would be in the market for another job but I would have to keep the one I had until I found something else. [JenInTN]
Yes, i would take the pay cut as long as it is reasonable and will apply to all employees from top to bottom. I would rather have job security rather than quitting and searching for another job. If ever things become a lot worse than the present then it would be an opportunity to search for a more lucrative job. [toyotaboi]
Hi toyotaboi. I think that almost everyone has said they would accept it if it was a fair cut and everyone got it. I am concerned with being trated fairly too.I would surely want everyone to get the same cut as me. Thanks for the response. [JenInTN]
If I really liked my job I'd be willing to take a pay cut.They just recently here did this to a well paying company(union) and the workers went on strike,right before Xmas,for about 6 weeks but in the end were forced to accept lower wages and medical increase.It doesn't seem right but around here there are not that many jobs that pay decent so you may as well stay with the one you got. [stormygrl]
Heyya stormygrl. There are several industrial parks in my area..only a few paying real well but they are all laying off or shutting the doors. I agree with hanging on to that job til the end. Thanks for responding. [JenInTN]
I am connected with the automotive industry on the retail side. I work at a Toyota dealership. I would take a pay cut because I like working in the accounting side of the dealership and I like the boss I work for. She works hard and expects all the other managers to work hard, which is not to say that all of them do. But those who don't usually go bye bye within 6 months to a year. I also would expect all paycuts to be for the same percentage. [Kimberlyr]
My company is the same way.We actually implemented a "core"group in which we bring in temporary workers during the busy season and in the slower months they are discontinued and the core group stays. We do add to the core group on occasion but it's mainly just because someone left or like you sai the work load is to high. [JenInTN]
If it could save my job in the long-term, I will be willing to take a pay cut. [bantilesroger]
Hi bantilesroger, why want to have pay cut if they were to save your job? No way man, what is your hobby? Just starts small with your hobby then progress gradually with that. Find ways to get another job because this not your career, don't ever save your job. Wasting time, if you were to save your career, you may do so. Do you see the difference? Suggestion anyway....Happy Mylotting. [Hvaniday]
Yes, I would take a pay cut if it would save my job in the long term. [bantilesroger]
It would probably depend on how much of a cut it was, and whether I'd be able to live on it and pay the same bills, etc. In a bad economy finding another job may not be easy; and if the company stayed open, at least there would be SOME job for me. It would all depend on a number of things, but I wouldn't necessarily rule out working for less. [LisaHW]
I won't rule it out either my friend. They announced in a meeting yesturday at my company they would be cutting costs because it would be a very tough year. I don't know that a wage reduction would be an option but it sure does make you think. [JenInTN]
With the worsening economy perhaps the question shouldn't be whether or not you wouls accept a pay cut. Maybe the correct question is if some money is better than no money. Unless you are willing to relocate to where the jobs are, aometimes a temporary 2nd job is more advisable. [catdla1]
yes..I expect it will. [JenInTN]
Something rather similar came up where I work a few months ago and the owners let the affected employees (all truck drivers) make the decision. Due to the economy there was not as much work as there had been in the past and the owners knew it would not be possible to give every driver work as had been the case in the past. The questions/options were: ** reduce wages, but that would be difficult due to award agreements ** put some drivers off, i.e. retrench them ** use the B-Doubles as much as possible to reduce costs of having 2 trucks on the road when 1 could do ** reduce the number of trips each driver did a week, i.e. work less hours ** all drivers take some/all of their accrued holidays not previously used. A roster system would be used where a certain number of drivers took holidays and the others continued to work for 4-6 weeks and then those working would go on leave/holidays. If on leave and extra work was available drivers could choose to work and be paid for working that day/days and holiday not uses for that day/days. They also provided a locked box with two padlocks for us to put our ballot paper in. One key was held by the depot manager and the other by someone nominated by the drivers and in our depot, the drivers nominated me. The reason for this was so that nobody could accuse anyone of tampering with the voting and it was also a secret ballot so that nobody would know what anyone else had decided. We continued working as normal and were given a week to decide what we wanted to do and then vote. The vote was overwhelmingly for the last one in most of the depots. Also a large percentage of the drivers opted for using the B-Doubles as well, so they kind of put in 2 votes. Not all drivers are licensed to drive B-Doubles but as is always the case, there are smaller loads which do not require a B-Double licence. The company did offer to pay half the associated costs for any who wanted to upgrade their licence plus allows them to use one of the Company truck when they do the test. It is a good deal for both the company as well as the employees because the company can utilise those drivers in different areas plus the driver himself is more versatile. When we have a load which requires us to drive one of the B-Double trucks we actually earn more money as well, so it works out well for the company as well as the drivers. Still even with all of that on offer, some drivers opted to look for other work and actually resigned which was their choice. Many of us had a lot of accrued leave because when the work was there, we did it rather than take time off. Also in the really busy times there were some who had banked extra time which meant they had worked more than normal and so did not get paid for it at the time. That meant they were entitled to take time off with pay and not use their holidays. The amount of tax we would have paid was one of the reasons this was done. I had 8 weeks off in total, which included the Christmas and New Year public holidays. During each and every one of those weeks I worked at least 1 day but more often it was 2 or 3 days and in fact one week I worked for 4 days. I am now back at work once again and will work at least 5 days every week or as near to it as that it doesn't matter. So far I have been back to back with loads although on Wednesday night I spent the night at home as the load was not due in till the following morning. I have a full B-Double load to deliver to Brisbane by Monday morning and so will probably leave sometime on Saturday if they can unload my truck on Sunday. If they can do that and reload me truck at the depot the same day, then I will be back home on Monday … maybe, depending on turn-around time as well as traffic. It might not be the most desirable thing to work as we are doing now, but at least it is work and money is coming in every fortnight and that is what counts. Every day that I took as holidays I actually got less than what I would have received if I had worked as there is no trip money for those days. So in some ways we have taken a pay cut but at least we still have our jobs and that is important. In actual fact by making the cuts when they did, we will all benefit and that is highlighted by the fact that the company was able to reduce the price for one huge job they submitted a tender for. They actually won that new contract which will keep 4 trucks bust for 5 days a week for 6 months starting next month. Will it get better? I have no idea at all but right now it does look promising for us. Would I do the same again and take holidays or reduced hours? Yes I would because at least I would have a job which is better than nothing as far as I am concerned. Any pay that I get is better than nothing and if my wages are less than I am used to, we always have the option of reducing our spending. Right now I am waiting for my truck to be unloaded and reloaded so am at one of the depots which is why I can get on the internet now. When I am loaded I will be heading back to my home depot to unhitch these trailers and the loaded ones for the Brisbane triop hooked up. Then I will be taking the truck to my place so I can leave from there when it suits me on Saturday (tomorrow for me) AFTER I have had a 24 hour break. Basically we all have to make the decision on what is best for us. If we refuse to take a pay cut, then there is the possibility that the business will have to close because they simply cannot keep it open. That means we will not have any income coming in and would have to rely on government benefits but not every country has such a system in place. It potentially could mean that we are unemployed for a long period of time because there would be a large number of applicants for each job. I am pleased that my depot voted as they did. Although I doubt I would have been one of those retrenched because of my experience as well as the types of trucks I can drive and the goods I can carry, it is a much better place to work. By no means is the company perfect but they do the right thing by the drivers and that is important. [oldboy46]
Kimberlyr there are times when we have to think beyond today or even this week and it is certainly one of the times right now with the current economic climate. Personally I think that the truck drivers who chose to leave the job were foolish in some ways because most of them do not have permanent job and in fact are only doing some casual driving. Sure they got paid out their annual leave and that might have been a nice bonus for them but they could get no benefits till the time of their leave/holidays had expired. So if someone was owned say 6 weeks leave, it would have been 6 weeks before he was eligible to apply for any government benefits. As it turns out most of us will be working constantly for the next 6 months and most of us actually worked part of the time we chose to have holidays. For example I agreed to take 8 weeks which is 40 days but in fact when you take into account those days that I did work plus public holidays, I actually took only half that amount of time. Sure it meant that I had to time my driving so that I got the maximum time legally allowed in each day plus I took loads on the weekends, but the end result is that I was working. That meant I still have those holidays available if things still do not improve later in the year. I do hope that your job is safe and even if there has to be a pay cut, you will at least have a job. It might mean some juggling of funds etc but you will be able to pay the bills and out food on the table which I believe is the main thing. Good luck Jen and I hope it all goes well for you. [oldboy46]
i think if you have a job nowadays u better keep it no matter what it takes. before i took a cut thi i'd want to be sure everyone was taking it especially the higher ups. they shouldn't expect the employess to take a cut & them not. [ANTIQUELADY]
heyya jo..I'm with you. If I would have to take one..it would be very unfair for the higher ups to keep theirs. It should be across the board. [JenInTN]
To be honest, with what's happening right now? I would say yes to a wage cut, rather than lose my job totally. The industry I work in is pretty transparent and is very much affected by this economic downturn. It's not like I have an option to jump ship to a different company since most of them have these so called "belt tightening" scheme in place. So yeah I'd gladly take a pay cut, besides If I did not accept it, either I lose my job or a co league of mine losses his/her's. Either way it's bad, but I'll go for the lesser evil. [brady2moss]
The industry I work in is being hit pretty hard too. What would we do if there's no where to turn? Sometimes that's all we can choose...the lesser evil. Thanks for responding! [JenInTN]
Hi dear sure its tough year ahead and u have to be very focused and determined in it Well, many unwanted decesions have to be taken to survive, as survival in year 2009 is more important in current situation, if needed for some temporsary basis ( for few month or a year) then i can do it, u r right steady job and steady income is more important Take care [cupid74]