Question: *this is all the information that's given, this is an HR class for reference* An old friend contacted me recently. He is about to retire

*this is all the information that's given, this is an HR class for reference*

An old friend contacted me recently. He is about to retire from a manufacturing company where he has worked for over 30 years. He indicated that he is leaving with a "sour taste in his mouth". He told me that four (full) years ago, his position was reclassified from a management position to a non-management graded position. At the time, he was told that he would be "grandfathered" as a manager so that he would not suffer any negative effects. However, he indicated that it instead of receiving his normal raise each year, he received an annual lump sum payment (of the same amount). He feels that this did impact him financially and therefore is leaving his company feeling very negative.

PART 1: Assuming that he was making $100,000 per year and would have received a 2.5% raise each year (for four years)-USE FOUR FULL YEARS) (which he instead received as a lump sum each year), calculate his total loss (wages only-do not consider pension or benefit impacts or any intangibles). Show your work.

PART 2 What advice would you have given him if you were me? Should he complain? If so, to who? Should he contact an attorney? Does he have a legitimate legal claim? Why or why not?

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!