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Reducing an Employees Wage

 
 
gollum
 
Reply Sat 28 Nov, 2015 09:45 am
A corporation hires an employee presumably at a market wage. Over the years he is given raises until today he is at a wage significantly higher than the wage the employer needs to pay in order to hire a replacement.

I believe the employer can terminate the employee and hire a new person to do the same work at a lower wage. I believe if the replacement employee is younger than the prior employee, that the prior employee has a case for age discrimination. If the replacement employee is older than the prior employee, is the terminating of the prior employee permissible?

Is it legal for the employer to instead reduce the 1st employee's wage to the market rate?
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Real Music
 
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Reply Sat 28 Nov, 2015 11:00 pm
@gollum,
I'm not sure whether or not it is illegal to terminate an older employer who is making a higher wage in order to hire a younger employee to pay a lower wage. I would be shocked if that kind of practice wasn't occurring in corporate America for years and probably is still happening today. Many corporation are greedy to the core. Many of these corporation want to pay lower wages, pay lower taxes, and don't want government regulations to interfere with their greed. The one entity that once fought against these types of practices very effectively was strong unions. Over the last several decades greedy corporations have wage a very successful war against unions. As a result of unions being weakened and abolished is one reason big corporations are now getting away with these types of hiring and firing practices.
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