That's - a way - to phrase:
- facilitate an effective 7.5% pay cut (employer paid Social Security / Medicare / Medicaid tax)
- avoid being properly compensated for overtime (assuming non exempt salary),
- and make claiming unemployment, disability benefits more difficult
When you refer to both, can you emphasize a specific burden the employee is subject to other than reduce tax benefits on disability / social security?
The employer skipping out on taxes is not a "pay cut".
And the employee also gets to skip out on taxes.