Let me first praise this site. You are providing valuable advise at no charge and that is much appreciated, I am sure, by many people. I have researched many threads on this site & found some clues to answer my question as an employer, but need clarification still.

I have an exempt salaried administrative employee who has been out sick several times in the year she has worked for us. Three times, her illness lasted three to five working days at a time. She also takes time off during work days for doctor/dental appointments (at least that is what she says she is doing). She also takes daily 1-hour lunches when our policy is 1/2 hour lunches. We have never docked her salary for those sick days, dr. appts. or extra 1/2-hours. She rarely works extra time and is seldom required to do so. I am considering changing her status to non-exempt salaried in an effort to be able to not have to pay her for so many sick days and shortened days, but I have a few questions about the legality of doing this as I do not want to violate the law.

As I currently understand, she, as exempt, gets her set salary no matter how many hours per week she works (less/more than 40). Can she be required to work at least 40 hours per week as our other hourly employees are asked to do and still be exempt?

We currently do not provide any sick leave days for anyone in the company. Hourly employees either use their vacation days or do not get paid when they are out sick or go to the doctor. Can I make my exempt employee use vacation days (if not used up) when she is out ill?

I read on the DOL site about not paying an exempt employee for sick time by having a bona fide sick plan, but it is not specific about what that is and if it is just for exempt employees or if it must also apply to the non-exempt employees. Does that mean just having a published policy for 2 or 3 sick days per year for each employee? Can you explain what we would have to do in order to have the exempt employee not be paid for time lost when she is out sick or doing personal things?

Would making her salaried non-exempt allow us to pay her full salary only if she works her 40 hours per week? I know it would mean that she gets overtime for more than 40 hours worked per week. We would just like to not feel that we are being taken advantage of on such a consistent basis.

Thanks for any help you can lend me.

As I currently understand, she, as exempt, gets her set salary no matter how many hours per week she works (less/more than 40). Can she be required to work at least 40 hours per week as our other hourly employees are asked to do and still be exempt? Yes, she can.

Can I make my exempt employee use vacation days (if not used up) when she is out ill? Yes, you can. The law does not require you offer sick or vacation benefits at all. So the employer can set the standards on when/how any vacation benefits are utilized.

Does that mean just having a published policy for 2 or 3 sick days per year for each employee? Can you explain what we would have to do in order to have the exempt employee not be paid for time lost when she is out sick or doing personal things? The DOL has determined that the plan must be "reasonable", which they have interpreted to be no less than 5 days. If you did institute such a plan, you do not have to allow "personal things" to be a reason for using sick time; that's not what it's designed for.

Would making her salaried non-exempt allow us to pay her full salary only if she works her 40 hours per week? I "Salaried" is merely a pay method. Since she is having so much trouble being present at work, why don't you just make her hourly? Pay her for what she works, period.

The only caveat I have here is that her "illnesses" and doctor's appointments could possibly be FMLA-related. Is your company big enough to be subject to the FMLA?

Other than that, you're being more lenient than I would be. :rolleyes: