Is there a difference in pay between horizontals for the same resource? [closed]

Question

A colleague who was in a core product creation software team in our company is being moved to the software services team (not because of performance issues, but because they saw that she had family responsibilities and would find it difficult to continue doing overtime). The product team creates products which are the company's flagship product. The services team do software development and maintenance on projects that are related to the main product, and also other projects which serve as a side-revenue generation for the company.

She is worried of a pay-cut although her manager has not mentioned anything about it and she's nervous to ask him.

Do companies continue with an employees existing pay in such situations? Is there a percentage of difference in pay between product and service teams? I assumed that the services team would earn more because they bring revenue to the company. So can she in reality, expect a hike? :-)

Answer 1

Do companies continue with an employees existing pay in such situations?

Every company is different. Most companies have different pay structures for different departments. Some don't.

The fact that one of the requirements of the original job (overtime) isn't present in the new job may indicate that the pay structure would be less. But not necessarily.

Even then, lots of companies wouldn't cut your pay - you might just get lesser raises down the road.

I wouldn't expect a hike - that seems unlikely.

The only way to know is to ask. Don't be afraid of asking questions that concern you. As @gnasher729 wisely points out, don't ask "will there be a pay cut", because that sets very negative expectations. Ask "will this affect my pay", or "this won't affect my pay, right? "