Hi,
My F1-OPT expired Oct 28, 2008. I have an approved H1B with start date of Oct 02, 2008, through an employer but didn't find a job yet, so don't have any pay stubs. My employer plan to cancel the H1 very soon. So, I want to switch to H4.

What's the process to change the status and will I need paystubs to do so?
As I don't have a job, will I technically move from OPT to H4 or from H1B to H4?
If I find a job in future will I be subject to H1B quota again ?

This is very urgent, it would be great if someone can reply ASAP.

Something fishy in here...

What your employer is doing is against the law. When your H-1 is approved, it means you already have a job offer so you can start working immediately, not to wait and find job. Discuss this matter with the attorney who handled your case since the beginning.