QUESTION
Can a contracted salaried employee have their salary reduced due to lack of hours if they do not agree to the reduction?
Asked on May 31st, 2013 on Labor and Employment - Texas
More details to this question:
There are 2 types of salaried employees (all under contract). Some work 9.5 months but choose to get paid over 12 months. Others work 12 months and are contracted for 12 months. Due to lack of business, work hours are spread out between salaried and hourly staff. Those 12 month salaried employees (only those working this summer) was asked to take a salary reduction and cut in work hours and resign their amended contract. However, they did not sign the contract. Those not working over the summer were not affected and no amendments made to their contracts. Can the employer ask those working salaried employees to take a reduction without asking the nonworking employees? Can the employer enforce this reduction and how?
1 ANSWER
2 Awards
I am assuming you are not talking about a teacher contract with a school. Some of the facts you recite are a little confusing to me, but given the games some employers play that is not unusual. You speak of salaried and hourly employees. Do the hourly employees get overtime if they work more than 40 hours in a week? Do the salaried employees get deductions in their salary if they don't work a certain number of hours? Do the salaried employees get overtime if they work more that 40 hours?
Under the Fair Labor Standards Act, salaried employees who are not paid overtime cannot have their salaries reduced to reflect the the number of hours they actually work. Hourly employees can have their hours reduced. I or any other lawyer would need to see the actual contract or contracts to answer your questions.
Answered on Jun 04th, 2013 at 12:14 AM
The forgoing is for general information purposes only and does not constitute legal advice or establish an attorney-client relationship.