Question & Answer: When Mary was hired, she was told verbally that she would receive a raise when…..

When Mary was hired, she was told verbally that she would receive a raise when she finished her college degree and yet another raise when she was given additional responsibility. She accepted the job offer based on this understanding. However, during the next two years, the firm experienced slow sales and had to ask all factory employees to accept a 12% pay decrease. But Mary, who does not work in the factory, has finished college, and has accepted more responsibility. Should she receive a raise?

Expert Answer

Answer

There are two types of contract one is oral contract and the other is express contract. Express contract is the one which is a written contract in which the terms are expressly written. Oral contract on the other hand is the one in which the terms are orally agreed upon by the parties. Oral contracts are enforceable by law provided there are sufficient evidences to support it. The case here is of oral contracts in which the terms are verbally agreed upon by the parties. Now here the salary of factory employees is decreased and Mary is not a factory employee therefore she should receive a raise and she also co

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