Ever seen a permie take a pay-cut?

[carlosLondon]

With all this talk about rate cuts in finance (UBS), a director of a large recruitment firm made a comment about pay cuts whether permie or contractor was a wise thing in the current climate.

Over the last few years where the economy has been in tatters I have never heard of a permie getting told they needed to take a pay cut. Redundancy yes, but not a pay cut.

Surely if all the permies took a 5-10% cut the employer could afford to keep them all on board rather than swinging the redundancy axe randomly.

I was asked to take a 5% paycut when I was a permie...

[2BIT]

With all this talk about rate cuts in finance (UBS), a director of a large recruitment firm made a comment about pay cuts whether permie or contractor was a wise thing in the current climate.

Over the last few years where the economy has been in tatters I have never heard of a permie getting told they needed to take a pay cut. Redundancy yes, but not a pay cut.

Surely if all the permies took a 5-10% cut the employer could afford to keep them all on board rather than swinging the redundancy axe randomly.

well yes but it is often positions that get made redundant not people, having worked for one of the large companies who have announced redundancies recently I can say that it's the only way to make the business more efficient given the amount of dead wood there...

[AtW]

Nope, but MF has seen one take an uppercut.

apricot

[vetran]

bonus manoeuvred out, no pay rises, expense payment cuts.

Don't like it get another job.

yep permies take cuts, its just because of legislation they sugar coat them.

[Sysman]

Last time I was in Zurich the company I was working with was taken over. They offered permies new contracts, where 15% of pay was now a "bonus". After year 1 no "bonus" was paid = 15% pay cut.

I didn't stay

I mate of mine had a variation on that at a UK company.

He'd got used to hitting his targets which earned him 15% bonus every year. After the company was taken over the targets were raised to impossible levels and bang went the bonus.

[AtW]

I've seen a fair few permies taking 100% pay cut - it wasn't pretty...