Pope v. Wabash Valley Human Services, Inc.

GARRARD, Judge.

Facts

Wabash Valley Human Services, Inc. (employer) is a not-for-profit corporation which receives federal funding for its Head Start Program. Due to federal financial assistance cutbacks, the employer, in 1983, instituted a deferred payment policy which provided that Head Start employees would be paid a nine month salary prorated over twelve months. This payment plan was included in an employment contract which also guaranteed the Head Start employees employment for twelve months, from May 26, 1984 through May 24, 1985, but designated May 26, 1984 through September 3, 1984 as a…