QUESTION
Complaints to labor from employees
Asked on Oct 20th, 2020 on Labor and Employment - California
More details to this question:
We have a restaurant in California. Due to the pandemic we had to cut salary as restaurant was closed for dine in. Can employees complain to department of labor that they haven't received salary? Surprisingly our partner (ours is a LLC) who also works at the restaurant is also threatening that he will complain if not paid full salary. We are struggling as we don't have resources to meet our expenses.
1 ANSWER
You need to be very careful when cutting salaries. If you have someone making less than $49,920 annually (if you have 25 employees or less) or $54,080 annually (if you are at 26+ employees) you have violated the law and yes, they can go to the labor board. This often happens when a full time manager, let's say making $80K per year, is cut to part-time, now working 20 hours a week and down to $40K, they no longer qualify as salary exempt.
Answered on Oct 20th, 2020 at 8:46 AM