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Psycorps
11-30-2006, 10:43 AM
I've read about 5 pages of the boards and still need clarifcation on this...

If I understand correctly, "salary" isn't a legal term, but simply an administrative method of pay. I originally thought my question would be about the legalities of docking money from a salaried arrangement, but I'm guessing the appropriate question is really when can you dock from an exempt employee (since all exempt employees are salaried).

Here is what I (mis)underdstand to be the laws...

MISSING A FULL DAY
1) Employer cannot dock pay for sick days missed, but can for personal days missed

Question: Can the employer require that sick and/or PTO time must be applied for missed sick and/or personal days (let's assume full 8 hour days only)?

2) The (non-federal) employer can set holiday pay under any policy they chose.

Question: When the offices are closed for what has been designated an "unpaid" holiday, can the exempt employees salary be docked 8 hours?

MISSING A PARTIAL DAY
3) There is no docking of exempt pay allowed for partial day absences If they come in at all, they are to be paid for the full day.

Question: So to clarify, if an employee works 2 hours and needs to leave for a personal reason, they are to be paid a full day?

Question: Can the employer set a minumum amount of PTO that an employee can request to be used for partial day absences?

4) Most importantly...what does all this mean for salaried non-exempt staff, can we simply dock their pay as if they were hourly. If "salary" is just a pay method and not a legal status, what requirements do we have that someone be guaranteed a salaried amount of pay?

Thanks in advance and sorry for the multiple questions
--

cbg
11-30-2006, 11:07 AM
1) Employer cannot dock pay for sick days missed, but can for personal days missed

Not entirely true. An employer can dock for sick days missed IF the employer offers a reasonable number of paid sick days, and the exempt employee has either used them all up or is not yet eligible for them.

Can the employer require that sick and/or PTO time must be applied for missed sick and/or personal days (let's assume full 8 hour days only)?

Yes. And it doesn't have to be 8 hour days only.

Question: When the offices are closed for what has been designated an "unpaid" holiday, can the exempt employees salary be docked 8 hours?

Only if they have done no work in the entire workweek.

Question: So to clarify, if an employee works 2 hours and needs to leave for a personal reason, they are to be paid a full day?

Yes, but the time they were out of the office CAN be deducted from sick, personal or vacation time banks.

Question: Can the employer set a minumum amount of PTO that an employee can request to be used for partial day absences?

Yes.

4) Most importantly...what does all this mean for salaried non-exempt staff, can we simply dock their pay as if they were hourly.

Unless they are being paid on the fluctuating workweek method, yes. A non-exempt employee does not have to be paid when they do not work.

If "salary" is just a pay method and not a legal status, what requirements do we have that someone be guaranteed a salaried amount of pay?

Who is, we?

Psycorps
11-30-2006, 11:17 AM
Thanks for the full response.

I should have clarified "we" as "the employer"

So based on your answer a non-exempt salaried employee would not have to be paid a full 40 hour week if the office was closed for what had been designated an "unpaid holiday". In short, "salaried" isnt a promise of a guareented pay, but more like general arrangement.

cbg
11-30-2006, 11:22 AM
That's correct. Again, as long as you are not using the fluctuating workweek method. (If you have to ask, you're not.)

BSPCPA
11-30-2006, 04:28 PM
cbg: as long as you are not using the fluctuating workweek method

FYI - It is against the law for an employer to use the "fluctuating workweek method" in California.

cbg
11-30-2006, 10:53 PM
Thanks, Barry, I didn't know that and it's a good thing to know.

I added that primarily because we have another responder who goes up in a sheet of flame if it is not referenced and I'm tired of fighting with him about it. Good to know I can eliminate references to it at least in California posts.

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