I did some business development work for a tech company on a contract basis. The CEO stated that I would be paid in cryptocurrencies when I started working in the spring of 2020. He added a clause to the contract stating that “the company may choose to pay in US dollars”.
I canceled this part of the contract because if I were to risk getting paid in cryptocurrency, and the price was suddenly estimated, I didn’t want the company to come back to pay me in US dollars.
In August 2020, I received payments for the cryptocurrency contract. Since then, cryptocurrency prices have skyrocketed. As of this moment, the encryption in which I got paid has increased by 700%.
“I’ve worked with this person for many years, and he tends to try to change the terms of payment after agreeing on a specific way of working.”
Today, I received an email from the CEO stating something along the lines of, “Since you have not generated any revenue for the company and are not currently doing any follow-up work, please resend all cryptocurrencies received in August 2020. You can bill the company for business hours. In US dollars. ” So, basically, it is reported that I can invoice seven times less USD than the cryptocurrency is worth today!
Please note that there have been many other people trying to sell the company’s solutions. It’s a startup and so far, they’re still trying to make their first dollar in sales. The purpose of the contract was to achieve sales and included a commission component, but the concept was that I would pay hourly for cold calls and email people, generate proposals, set up meetings, participate in and lead promotions, etc., using an income generating goal.
I am not really sure what to do. I have worked with this person for many years, and they tend to try to change the terms of payment after agreeing on a specific way of working.
What do you think is a fair solution? Should I return some cryptocurrencies for business hours? What should I tell this employer?
The encryption is confused
You can email The Moneyist with any financial or ethical questions at email@example.com.
No, unfortunately, no. no thanks. of course not. Ask me again in 2121.
If the value of the cryptocurrency has fallen 700% since August 2020, does he want to pay you in dollars? If he suddenly drops that amount today, will he follow up with his staff? Not on your neal. The employer must abide by the terms of his contract, and any efforts to break this contract with a guff about how the employees did not do X or Y, which means that their wages must be paid in one way or the other, is an acute practice at best and opens up to a lawsuit at worst .
“A contract employee has more job security: he cannot be fired for any additional reason specified in the contract,” according to Mattiaci Console Act In Philadelphia. “The contract can contain a variety of employment conditions, including job duties, wages, and protection against termination, but it is against the law for the employer to waive the employee’s right to a minimum wage or his right to collect unemployment.”
Be it Bitcoin or Ethereum, paying employees in cryptocurrency is a risky practice for both the employer and the employee.
Even if the contract says you can be paid in dollars or cryptocurrencies, asking for a payback is a completely different matter.
He says, “A contract is a contract is a contract.” Eugene Lee, A Los Angeles-based labor attorney. “You or the employer cannot breach the contract without facing the consequences. This is unless the contract states that they agree. This is why it is so important for employees to keep copies of any contracts they have signed with their employers.”
Whether it is Bitcoin
Paying employees’ wages in cryptocurrency is a risky practice for both the employer and the employee. The value of a currency can rise and fall, as you live, and there are tax issues for both the employer and the employee over appreciating that currency. The business owner must record the value of the cryptocurrency on the date of payment and employees W-2 must be reported in dollarsAnd no encryption.
Warning warning: You might get 700% profit today, but that could change in an instant.
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