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Team leader vs. team member: when a refused pay rise turns into conflict

Published on October 7, 2026 · 5 min read

An employee doesn't get her pay rise and slows down her work. Her team leader loses her temper, and she is the one blamed by the finance director. What French law says, the impact on the team, possible solutions and the qualities of a real team leader.

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This article provides general information and does not constitute legal advice. Laws change: always check the version in force on the official websites listed at the bottom of the page.

The case: a dispute that reaches senior management

Celine did not get the pay rise she expected. Instead of talking about it, she slows down: her files pile up and her deadlines slip, Sara, her team leader, ends up confronting her, and the conversation turns into an argument in front of the whole team.

A few days later, the finance director calls Sara in to blame her for the delays and for how she handled the conflict.

This scenario is common, a poorly handled pay issue becomes a management problem, then a team-wide problem. And the frontline manager is often the one who pays the price.

What the law says about pay rises

The employer's prerogative

In France, granting an individual pay rise falls within the employer's management authority, no law requires it, provided the salary complies with the minimum wage (SMIC) and the minimum rates of the collective agreement, refusing a pay rise is not considered a disciplinary sanction.

A limit: equal pay

However, the employer must be able to justify differences in treatment between employees. In a ruling of 6 May 2015 (no. 13-25821), the French Supreme Court (Cour de cassation) ruled against an employer who could not provide objective, verifiable evidence for excluding an employee from a pay rise. Clear, documented criteria therefore protect both the company and its employees.

Deliberately slowing down: possible misconduct

An employment contract must be performed in good faith (Article L1222-1 of the French Labour Code). Case law holds that deliberately working slowly is not a strike, this practice, known as a "go-slow" ("grève perlée"), is a faulty performance of the contract and may lead to disciplinary action.

If this applies to a collective movement, it applies even more to a single employee quietly slowing down to express her frustration.

The responsibility of the team leader and the employer

A single argument is not harassment, however, repeated criticism that degrades working conditions can become harassment (Article L1152-1). Any employee who engages in such conduct may face disciplinary action (Article L1152-5).

The employer, for its part, must take the necessary measures to protect employees' physical and mental health (Article L4121-1). Letting a conflict drag on without stepping in can therefore make the employer liable.

The impact on the wider team

This kind of conflict never stays between two people:

In the end, motivation drops, absences increase and the best people start looking elsewhere.

Solutions

  1. Separate the two issues: pay is discussed in a formal meeting, with clearly explained criteria. Performance is addressed separately, based on precise facts (deadlines, volumes, targets).
  2. Take the conflict out of the public space: disagreements are settled one-to-one, never in front of the team.
  3. Use mediation if the relationship has broken down, as provided for in Article L1152-6 of the French Labour Code.
  4. Support the team leader rather than simply blaming her: conflict-management training and HR support.
  5. Make the pay policy transparent, so everyone knows what leads to a pay rise.

The consequences of this kind of behaviour

The other path: the employee who negotiates or moves on

Faced with the same refusal, a rational employee acts differently, they assess their market value, update their CV and apply elsewhere. If they receive a concrete offer, they ask for a meeting with management, they make no threats: they present facts, meaning their results, their skills and the salary the market is offering them.

There are then two possible outcomes, either the company raises their salary, or they resign, serve their notice period and move on, either way, nobody's reputation is damaged, and the company gets a clear signal about its pay levels.

What makes a good team leader

An excellent employee does not necessarily make a good manager, doing your own job well and getting a team to perform are two different skills.

Communicating clearly

They explain objectives, give precise feedback and say difficult things without humiliating anyone.

Staying calm

They keep their composure under pressure and never settle a disagreement in front of the team.

Being fair

They apply the same rules to everyone and base evaluations on facts, not personal preferences.

Listening and anticipating

They spot early warning signs, such as a sudden drop in motivation, and try to understand before criticising.

Deciding and taking responsibility

They make decisions when needed, own their team's results and escalate problems in time.

Knowing the rules

They master internal procedures and the basics of employment law, and never promise what they have no power to grant.

Conclusion

A refused pay rise is not necessarily unfair, and slowing down is never the right answer. Transparent pay criteria, structured dialogue and managers chosen for their people skills, not just their technical skills, prevent most of these conflicts.

Sources

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