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An Austin company wants to take employees’ stimulus checks

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  • toddnjoyce

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    Something that just occurred to me.

    This is either just corporate greed, or the company is on very shaky financial grounds. Trying to keep corporate coffees full off your employees is crappy, and sure doesn't inspire employees to loyal to the company. And if the company is in that bad shape financially, that using employees money to keep it afloat, is just bad too.

    Or, none of the above; I’ve seen stupider ideas proposed by executives. I can understand that everything is on the table when it comes to cost control in the current environment, and labor is the most expensive cost to control.

    What boggles my mind is someone in HR let it get as far as it did.
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    avvidclif

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    A boycott of the company probably wouldn't work. I doubt many employees will be sticking around to do what little work there is. I know I would be gone. Then again maybe they did this to shed a few employees without having to pay unemployment.
     

    Axxe55

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    A boycott of the company probably wouldn't work. I doubt many employees will be sticking around to do what little work there is. I know I would be gone. Then again maybe they did this to shed a few employees without having to pay unemployment.

    I agree. And especially that type of company would be very hard to boycott.

    Interesting point. Piss off enough employees that they quit, and possibly even get out of unemployment penalties.

    If that was the idea, I'll admit, it's clever.
     

    jordanmills

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    Something that just occurred to me.

    This is either just corporate greed, or the company is on very shaky financial grounds. Trying to keep corporate coffees full off your employees is crappy, and sure doesn't inspire employees to loyal to the company. And if the company is in that bad shape financially, that using employees money to keep it afloat, is just bad too.
    It's bad, but maybe it was a misguided attempt at keeping the doors open so everyone can keep their jobs. I mean, I seriously doubt it, but it is possible.
     

    Axxe55

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    It's bad, but maybe it was a misguided attempt at keeping the doors open so everyone can keep their jobs. I mean, I seriously doubt it, but it is possible.

    I agree with you on that. And without further information on the corporate heads of the company, it's pretty much speculation to what the underlying reason was for their decision.
     

    justashooter

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    Is anyone else suspicious of this story? The company was not named. I get why the source would not want to reveal it, but the reporter probably knows and could have sought verification. Look in situations like these there are always people who are looking for the spotlight to shine on them, and may stretch the truth to achieve that. Usually this a a qualification for being a politician.
     

    Renegade

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    Is anyone else suspicious of this story? The company was not named. I get why the source would not want to reveal it, but the reporter probably knows and could have sought verification. Look in situations like these there are always people who are looking for the spotlight to shine on them, and may stretch the truth to achieve that. Usually this a a qualification for being a politician.

    Yes.

    The FakeNews media relies almost exclusively on "anonymous sources".
     

    toddnjoyce

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    not taking anyone's check. They're deducting the amount of the stimulus from the pay, for not work, the company has been giving employees.

    next year's tax bill is going to make a lot of people unhappy.

    I don’t see where ImageNet has said they paying for people not to work. They have said 25% have been laid off. That implies no work and no pay for those.

    Second, and this pertains to salaried exempt employees, if they regularly receive a predetermined amount of compensation each pay period, DOL says the predetermined amount cannot be reduced because of variations in the quality or quantity of the employee’s work for the current pay period.

    They can make adjustments for future pay periods, which is wholly different than docking pay to fund a potential benefit. The cleanest way to have handled this would have been to announce an across the board pay reduction.
     

    toddnjoyce

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    If an employer has furloughed or the employee is not working but the employer is still paying the salary and the employee gets a stimulus check, doesn't that sound a little like double dipping?

    If the employee gets a stimulus check wouldn't it be justified for the employer to know what amount the employee got in the stimulus check and deduct that amount from what they are paying the employee?

    The employee gets the same salary as normal but the employer gets some help because he has no sales money coming in to offset what he is paying the employees.

    Doesn't seem right the employer would pay employees salaries, with nothing coming in, and then the employee gets money from the stimulus check too.

    No to all the above.
     

    Renegade

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    If an employer has furloughed or the employee is not working but the employer is still paying the salary and the employee gets a stimulus check, doesn't that sound a little like double dipping?

    No it does not.

    If you are an employee can you take out a SBA loan against your employer?

    Where in the law does it say employers should dock pay? If the govt did not want working employees to extra money, they would not send checks to anyone who is currently on a payroll, or they would have made it taxable to be paid back next year.

    If the employee gets a stimulus check wouldn't it be justified for the employer to know what amount the employee got in the stimulus check and deduct that amount from what they are paying the employee?

    Again, where in the law does stimulus checks have anything to do with your paycheck?

    The employee gets the same salary as normal but the employer gets some help because he has no sales money coming in to offset what he is paying the employees.

    The bill has relief for employers to the tune of hundreds of Billions of dollars.
     

    cherok2e

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    No it does not.

    If you are an employee can you take out a SBA loan against your employer?

    Where in the law does it say employers should dock pay? If the govt did not want working employees to extra money, they would not send checks to anyone who is currently on a payroll, or they would have made it taxable to be paid back next year.
     
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    Renegade

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    So you figure if the employer is getting something then why shouldn't you take double or anything you can get as long as the government is willing to give it out. Congress doesn't have to pay it back but as a taxpayer we do.

    It is not an employers business what an employee makes outside of what his employer paid him.

    And it is certainly not an employer role to enact some kind of Karl Marx-like income re-distribution - to the owners of the company.

    Imagine if Boeing tried this shit and then used the money to buy back stock.
     

    TxStetson

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    Second, and this pertains to salaried exempt employees, if they regularly receive a predetermined amount of compensation each pay period, DOL says the predetermined amount cannot be reduced because of variations in the quality or quantity of the employee’s work for the current pay period.

    They can make adjustments for future pay periods, which is wholly different than docking pay to fund a potential benefit. The cleanest way to have handled this would have been to announce an across the board pay reduction.

    Does this go for furloughed salaried employees also?
     
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