#73303 by
Shredd6
Wed Jul 01, 2009 5:21 am
Warning. Long post coming up.
Unfortunately, this is a trend we might start seeing more of. I'll try to explain why the best I can..
I've been on unemployment since Dec.. I've been out looking for another job for quite a while actually. But so far, no such luck.
I'm a stair-rail installer in new home construction Ratsass. I do piece work.
So under piece work guidelines, as with any company, the law only requires that an employer pays minimum wage or above.
Here's the tricky part about piece rates... Who decides the wage? In my line of work we get a piece price based on how many hours the company GUESSES it will take to do it. There are many gray areas in piece work. If someone says, "this job should take 10-hours, it pays $200, so you make $20/ hr." How long it actually takes is anyone's guess, and every aspect of it is subject to debate. If it happens to take you 5 hours, SWEET You made $40/ hour! If it happens to take you 20-hours, then you made $10/hr and tough s**t. Either way, you're getting $200.
However, we are in different times. Let's say a company only has 2-3 jobs to give you for the month. Your money will just get deducted from your unemployment. So basically, you will make only what your unemployment pays you for the whole month. If the company all of the sudden cuts the piece rate, it's perfectly within their rights and legal. Most companies nowadays will say that they have to for the company to still exist.
If they cut the piece rate to what would be considered minimum wage, then you will get less money deducted from your unemployment, and the company will get more of the profit, especially if it's a job that never was re-bid. It's a perfectly legal thing.
But there are problems here for the employee. Especially a Piece worker. First of all, your unemployment has a balance and will run out quicker under this practice. Secondly, what may get determined to be a minimum wage piece rate, may not actually be correct, and you will make less than minimum wage. You can argue it till you're blue in the face, but what real valid argument do you have when the basis of piecework is guesswork? The gray areas favor the employer.
Then there's the A-Bomb.. If the company all of the sudden has a surge in business and you're working steady for the month, guess who makes out in that scenario?
If you refuse the job, they can report you to the unemployment office and you can lose your benefits. If you decide to fight against it, you will be assigned an arbitrator, and your benefits will still be halted until a ruling has been made.
But who would be right about the piece rate?? The employer or the employee?? It's too easy for an employer to say that the employee just worked too slow. And obviously an employee would argue that the Piece rate is unreasonable. Who's professional opinion prevails?
Unfortunately, this scenario is very real. I already know quite a few construction workers who are in the $10/hr range. But how much longer before their rates get cut again? As more of these companies are starting to go under, minimum wage is starting to be more enticing to them, and it's 100% legal. That's the only law that determines "fair wage".
Our piece rates haven't dropped like that overnight, it's been very gradual. How long before they ever go back up?
At this point, I have no choice but to accept it, or move on without my unemployment benefits. At least until I find something else. I'm starting to envy the mall worker.