System One Holdings

[RubyMarie]

Hi - I didn't see any info regarding System One, having issue with this company on assignment at Pepco Holdings (now part of Exelon).  Is it okay to post this here?

System One is breaching contracts for about 25-50 contractors (most are employees of System One).  They are taking away our per diem, dramatically cutting our hourly rate, and will no longer pay time and a half for OT (just straight time).  I heard they did something similar at PPL ... and ended up losing that contract after a while.

I have never been with a company that tried to breach my contract, has anyone been through something like this before?  Anyone here that was at PPL when this happened?  Do we have any legal options against System One?  Thanks.

[Rennhack]

Hi - I didn't see any info regarding System One, having issue with this company on assignment at Pepco Holdings (now part of Exelon).  Is it okay to post this here?

System One is breaching contracts for about 25-50 contractors (most are employees of System One).  They are taking away our per diem, dramatically cutting our hourly rate, and will no longer pay time and a half for OT (just straight time).  I heard they did something similar at PPL ... and ended up losing that contract after a while.

I have never been with a company that tried to breach my contract, has anyone been through something like this before?  Anyone here that was at PPL when this happened?  Do we have any legal options against System One?  Thanks.

Out of curiosity, how long have you been at that location?

[RubyMarie]

Hi - personally been there since February 2016, 1 year contract.  Others have been there longer, a few came after me. 

[Rennhack]

Are you aware than a company is not permitted by federal law to pay per diem longer than 1 year? (Specifically, for you to not pay tax on it, it has to be an 'accountable' program.  Of that, one of the many rules is that it can not exceed a year) The rules are found in the Code of Federal Regulations: 26 CFR 1.62-2 - Reimbursements and other expense allowance arrangements.


With that out of the way, I read that you have been there less than a year, about 8 months. -- I just wanted to get that out there.

I personally have worked for System one only once, and only for a short outage.  I had no issues during that short outage.

You mention a 'contract'.  With the current 'right to work' laws, most 'contracts' are worthless.  None the less, if you actually have something in print, I suggest you reread it.  If there are no words in it that state "at will" or other such outs, then hire a lawyer, and seek reimbursement.  You may also think that you have a 'contract', but you just have a statement delineating expected results. -- Contract law is very detailed with minutia.

[RubyMarie]

I don't quite understand your first sentence - "Are you aware than a company is not permitted by federal law to pay per diem longer than 1 year?"

I didn't find that in the link you provided.  Where does it specifically state a private employer is prohibited by law from paying a per diem for longer than one year?

I've always known per diem is taxable for assignments over 1 year.

[RubyMarie]

And I do have a 'contract' by all legal definitions of the word, which was signed by both parties and details my pay rate, per diem, length of time, etc.  I know 'at will' employment means I can be terminated at any time for any reason or no reason (as long as it is not term for something that is protected by law). 'At will' does not mean my employer can change the terms of my contract without both parties consent.  This is a breach of contract.

I have reached out for legal advice and I was posting here to see if anyone else had been through the same.

[Rennhack]

We appreciate you sharing here.  I believe you have a very solid case.

[bsdnuke]

Just curious, what are your losses? $10,000?, more?

Do you have assets to hire a lawyer? They will want money up front by the hour plus you'll pay expenses.

And while developing and fighting the case, who will hire you?

While the case may have merit, you may not do that well in the long run. If you can, go elsewhere.

[scotoma]

If you have a legitimate grievance, contact the state labor department. If they believe that there is a violation, they'll have you file a complaint and they will investigate.

[RubyMarie]

Thank you for the replies.  Bsdnuke - my personal losses are over $15K, not including the firm job I declined to accept the System One offer and the multiple jobs I passed on while I was employed by them.  And it's not just me that was affected but 30+ of my co-workers.  And I've been told by other people this is something System One has done at at least two other locations. 

One of my co-workers contacted an attorney who would not pursue based on either the inability to sue for 'pain and suffering' in breach of employment contract law or the 'at will' employment status, which means a company can basically say 'you're done' today but 'would you like your old job back at a substantial cut in pay' tomorrow? 

Scotoma - I don't see there is any recourse, I've contacted three states Attorney Generals with no response.  No one cares.  I just hope the word gets out about System One and crappy employment contracts in general.  My co-workers are scared and laying low until they find something else.  There are others in worse situations than mine and who wants to be out of work at year end or around the holidays? 

[RubyMarie]

Oh, and if anyone cares System One is bringing in some Canadian workers to take these jobs from us ... I've got nothing against Canada but there you go, that's the kind of company System One is.