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When switching employees from salaried to hourly, you'll need to figure out what to pay them. The employee's hourly pay rate can be lowered to match their old weekly rate as long as they do not drop below the federal and state minimum wage.
At-will employment doesn't just cover firing, however: An employer can also change the status of an at-will employee -- including, for example, the employee's hours, salary, title, job duties, worksite, and so on -- without notice and without cause.
When switching employees from salaried to hourly, you'll need to figure out what to pay them. The employee's hourly pay rate can be lowered to match their old weekly rate as long as they do not drop below the federal and state minimum wage.
Even if the employee takes a partial day off, you must pay full salary for that day. Hourly employees are paid for the exact amount of hours they work during the pay period. Therefore, if they take partial days off and do not have benefit days to cover the hours, you do not have to pay them for the time taken.
California does not have a law addressing when or how an employer may reduce an employee's wages or whether an employer must provide employees notice prior to instituting a wage reduction. Moreover, a wage reduction can only be applied to hours worked after the change and cannot be applied to hours already worked.
Yes. Even when a position qualifies for exempt status an employer may change the status to nonexempt to help cure an attendance problem. Employers choosing to change an exempt employee to nonexempt must do so with the intention of the change being long term or permanent.
When switching employees from salaried to hourly, you'll need to figure out what to pay them. The employee's hourly pay rate can be lowered to match their old weekly rate as long as they do not drop below the federal and state minimum wage.
Reclassifying employees as hourly workers is legal, but employers still need to be careful. To stay compliant with the Fair Labor Standards Act (FLEA), employers need to show the U.S. Department of Labor's Wage and Hour Division when the changes were made, and why.
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