ASK HR: My employer has reneged my salary deal. What should I do?

Q. Last year, my current employer poached me from another accounting firm with a promise that he would double my salary. I accepted. He faithfully paid me for six months after which he started paying me the same amount as my previous employer citing that business was low. The problem is, this was a gentleman's agreement. There was no written document. What actions should I take?

Poaching is usually the dream of most employees because it presents an opportunity to instantly improve salary.

However, it is during this time that the employee often drops his guard and becomes vulnerable to ‘empty’ promises by a potential employer. More often than not, employees never weight the full package that they currently have and what is being offered by the new suitor.

Most of them do not have competitive benefits and the high salary is usually a guise for other benefits that they don’t offer. Many employees fall prey to this trick. In the excitement, they fall for the promises and fail to get a formal contract stipulating the terms and conditions of employment.

What employees must know is that remuneration is based on the general labour market, the specific industry, ability for the company to pay and the scarcity of the specific skills in the market.

Therefore, you should be very concerned if you are offered a salary package that is way beyond the market for your industry unless you possess a very unique and rare skill, or you were grossly underpaid previously.

It is usually fine, during the ‘honeymoon’ period but when reality checks in, the employer might backtrack on their verbal promises. After some time, the employer realises that they are paying high wages that are not sustainable since a high wage bill does not necessarily translate into higher profits.

Salary is a very emotive issue that must be dealt with utmost care since it can break an otherwise good deal. It’s illegal to reduce an employee’s salary without discussion and mutual agreement which must be in writing.

You require a conversation with your employer to give you a contract stating the salary you had initially agreed upon, with a clause indicating the employer owes you for the months you were paid less than the previously agreed amount.

This will cushion you when the business improves or in the event that you leave the company. If the employer refuses, you may have to accept that you made a mistake and live with it as you scout for another suitor.

This, I hope is a lesson to you. In future you should appraise a potential employer in terms of their value system, work environment and their brand image before you accept the offer.

I hope you have also learnt that “a gentleman’s agreement is as good as the men giving it.”