Legal Question in Business Law in Washington

I work at blockbuster and i have been working there for about three years now. Last year i recieved a promotion and a raise of fifty cents so I currently make $9.05. I am getting promoted again and getting a 15% raise on my 9.05 so it would be a little over 10 dollars and i was excited. but it turns out they are giving me a 15% raise off of minimum wage because my "fifty cent raise" is a stipend? that is the word the district manager used on me so now i am going to make $9.83. this seems unfair and a little unusual to me. there have also been other times where blockbuster has done some fishy business with the amount they take out for taxes, i thought it was so unusual i made a spreadsheet on excel to see everything.


Asked on 7/26/10, 12:30 am

2 Answers from Attorneys
Susan Beecher Susan L. Beecher, Atty at Law

Your employer is not obligated to give you a raise to a certain level unless you have a written contract (collective bargaining agreement or individual contract) that says so. Their approach will certainly cost them in terms of employee morale, but it isn't illegal.

The "fishy business" with tax withholding is another matter. Your post does not give any information about what specifically happened. While your employer has some freedom in establishing your rate of compensation (subject to minimum wage laws and a few other restrictions), they have almost no freedom in deciding how to split off the government's share.

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Answered on 7/26/10, 6:45 am
Kevin B. Murphy Franchise Foundations, APC

The other attorney is right on point here. If you believe there's "fishy business," then contact your state's employment or labor department. They will investigate. Consult with an attorney in your area for specifics.

Kevin B. Murphy, B.S., M.B.A., J.D. - Mr. Franchise

Franchise Attorney

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Answered on 7/26/10, 7:50 am


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