Common use of Red Circling on Position Abolishment Clause in Contracts

Red Circling on Position Abolishment. Where an employee’s position is abolished by the Employer and the employee is transferred to another position having a lower maximum rate of pay, the employee shall continue to receive pay at the rate in effect at the time the position was abolished until such time as the rate of pay for the new position exceeds the rate of pay in effect at the time the position was abolished.

Red Circling on Position Abolishment. Where an employee’s 's position is abolished by the Employer and the employee is transferred to another position having a lower maximum rate of pay, the employee shall continue to receive pay at the rate in effect at the time the position was abolished until such time as the rate of pay for the new position exceeds the rate of pay in effect at the time the position was abolished.