A backdated pay cut

**The Lone Gunman** · 20 July 2009, 08:59

Originally posted by fester View Post

Quick question as I'm not sure where I stand.

I had a letter from my agency on 18th July saying that my on-call rates were cut from 1st June.

I've called them and they say they can change my contract anytime at the request of the client. What good is the contract then?

So all the overtime (including nightshifts) I'll now get paid less than I thought I was getting paid.

The cheek. Has anyone come across this before? What can I do about it?

FYI - I'm an Oracle DBA at a major bank.

You have a contract with them which states the terms. If they wish to change the terms then they have to agree them with you. Unless you agreed to flexible terms in the original contract.

**Menelaus** · 20 July 2009, 09:08

Unilateralism in the contract? Sod that. A contract requires consensus in idem - a meeting of minds; if it isn't there, there's no contract and the contract is (at very least) voidable.

Suspect what may be happening is that MegaBank are screwing the agent on their margin and agent are screwing you. Given the relative economic strength between the parties, the agent are almost definitely trying to pull a fast one.

**Not So Wise** · 20 July 2009, 09:40

Originally posted by fester View Post

I've called them and they say they can change my contract anytime at the request of the client. What good is the contract then?

Before we even get into the legalities of a "contract that can be changed at anytime by one party without notification" I would suggest you actually read your contract to see if it actually contains such clauses. If not tell agency to pay up or be ready to see you court

If it does have such clauses, consult a lawyer

**Board Game Geek** · 20 July 2009, 09:51

Roger Sinclair from Egos is highly recommended by me at least.

Worth every penny to review a contract when an agency and one of the big 3 umbrellas were trying it on.

What's more, he discovered something on one of the big 3 umbrellas new T&C's which was not correctly implemented and as such their case fell apart before even going to litigation.

What's more concerning is that this cocked implementation is of great benefit to potentially thousands of other contractors who may use this umbrella, and are unware of it. (They messed up a non-solicitation clause, allowing me to go direct)

**Sysman** · 20 July 2009, 10:13

Originally posted by fester View Post

I've called them and they say they can change my contract anytime at the request of the client. What good is the contract then?

You contract is with the agent, not the client. "Anytime" should include an adequate notice, otherwise (taking it to extremes) they could reduce your rate to zero from the beginning of the contract.

I take it you have already invoiced for June?

So all the overtime (including nightshifts) I'll now get paid less than I thought I was getting paid.

The cheek. Has anyone come across this before? What can I do about it?

FYI - I'm an Oracle DBA at a major bank.

Backdating the rate sounds fraudulent to me, but you need to read the fine print of your contract to see if such a thing is allowed.

Before reaching for lawyers, I'd suggest asking the agency at what date the client requested a rate cut, and from which date. If the client made the request at the beginning of May, then it's the agents fault that they didn't communicate this to you earlier.

Whatever, I'd be trying to negotiate to get paid at the original rate until at least the end of July.

**d000hg** · 20 July 2009, 10:37

Providing your contract isn't allowing this, I'd go in hard. Shout down the phone, demand to speak to a manager, etc - don't just say "oh, I'm not sure how that can be true". Sounds like it could be genuinely illegal rather than simply sneaky tactics to maximise their margin.

**Menelaus** · 20 July 2009, 10:40

Originally posted by d000hg View Post

Providing your contract isn't allowing this, I'd go in hard. Shout down the phone, demand to speak to a manager, etc - don't just say "oh, I'm not sure how that can be true". Sounds like it could be genuinely illegal rather than simply sneaky tactics to maximise their margin.

WHS * 100.

A backdated pay cut