Last week’s Business Talk article highlighted the dismal outlook on employee motivation for firms who erroneously lower staff salaries during Covid-19 without appropriate cause.
Examples of the more egregious coronavirus pay cut scenarios include first, salary and payment reductions that are not uniform across an organisation.
Others are executives receiving the smallest percentage pay cut or none at all but cascading belt- tightening down the chain getting incrementally worse as the employees status, rank, and influence in the firm diminishes, with the lowest level workers receiving the greatest hatchet reduction to their earnings.
Second, some firms disproportionately reduce salaries on the most vulnerable workers which are typically casual, temporary, contract, and part-time employees while blaming coronavirus but not inflicting the same pain on their full-time workforce.
The firm protected vulnerable groups of part-time, casual, and contracted workers the same as full-time regular employees who are still required to put forth the same work output despite the pay cutbacks.
