Tuesday, March 9, 2010

Reducing Working Hours?

If your employer asks you to work fewer hours or take a pay cut, this is a change to your contract of employment. Any change to your contract of employment must be agreed by both you and your employer. When deciding whether or not to agree to working reduced hours or to a reduction in pay, there are a number of issues to be considered:

-Reduced pay – what are the implications of this – for example, your take home pay, pension contributions, Health Benefits, Benefits in Kind, Child Care etc
-Scheduling of working hours – it may suit you to reduce your hours, for example working a day less per week or 2 hours less each day.

You should ask your employer to give you written details of this proposed change to your contract of employment including a review date. You should respond to this in writing and if you are proposing to accept the change, you should stress that your acceptance is temporary. At the review date the change to your contract can be reconsidered and you could ask to return to the original terms and conditions of your contract.

One thing to remember is your entitlement to social welfare for days not worked. For example, If you are put on a three day week, providing you must have enough PRSI contributions, you would be entitled to claim Jobseekers allowance.

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