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View Full Version : Changing from Hourly to Salary Michigan


rawccn
07-18-2008, 04:25 AM
I work for a non-profit organization. Myself and 2 other employees are being offered to go salary. Currently we are only allowed 39 hours and when we go salary we will be paid for 40 hours but required to work 50 hours every week. If we don't work our 50 hours we will get written up. Our director says that the benifits will make up the pay for the other 10 hours. Is this legal? I just feel that if I have 50 hours of work one week then I should definitly do my job but if I only have 40 hours of work then I get it done and go home. I thought that is how salary works.

Pattymd
07-18-2008, 04:38 AM
"Hourly" and "Salaried" are merely pay methods. The real issue here is whether you are exempt or nonexempt. Your exempt status is irrelevant as to what hours you can be required to work; however, it is critical to whether or not you must be paid overtime when you work over 40 hours a week, or not.

What exactly do you do?

cbg
07-18-2008, 05:02 AM
And no, nothing in the law says that either salaried or exempt employees can come and go as they please.

rawccn
07-18-2008, 07:27 AM
I work for a non-profit that has Child Care, preschool, athletics, and other community events. I am considered part of the management team and when my director was talking to me she said that we would be considered excempt staff. So are you saying she can require me to work 50 hours every week but only get paid for 40?

Eng&SafetyMGR
07-18-2008, 08:05 AM
If you are truly exempt (which I'm not sure you are) you need to forget about an "hours" mentality and think of it more as "whatever it takes to get the job done/ whatever is required by the boss" mentality.

You could always attempt to re-negotitate your salary.

cbg
07-18-2008, 08:27 AM
You are not being paid for only 40 hours. Either you misunderstood or they explained it badly. You are being paid for all the hours you work, however many or few they may be. You don't get more pay if you work more hours; you don't get less pay if you work fewer hours (some limited exceptions apply) and your salary covers ALL the time you work.

But yes, it is legal for an employer to require either a salaried or an exempt employee to work 50 hours, even if it only takes 40 to do the work. I'm not saying it's good management - I'm saying it's legal.

rawccn
07-18-2008, 08:49 AM
Thank you for all your help and quick responses. My coworkers and I are having a hard time with going salary because we each have a bachelors degree and work in our field of study and we only make 10.00 and hour and going salary will give us one extra hour of pay. That means our salary paycheck would only be $400.00. Is there any minimum pay? I might just be complaining about something that I can't do anything about.

Eng&SafetyMGR
07-18-2008, 09:07 AM
That pay sounds too low to be considered a bona fide exempt status. Hang on for the others to confirm but 455 is sticking in my mind as a minimum weekly salary.

cbg
07-18-2008, 09:12 AM
$455 is the minimum for an exempt employee. A non-exempt employee could conceivably be paid less if they are paid on salary, but if they are non-exempt they would also have to be paid overtime for hours over 40 in a week.

rawccn
07-18-2008, 09:19 AM
Thanks for all your help!

ScottB
07-18-2008, 10:58 AM
That means our salary paycheck would only be $400.00. Is there any minimum pay?

Yes, exempt employees must be paid $455 a week under federal law (a few exceptions for lawyers, doctors and computer professionals paid by the hour). California requires $640 per week. I think New York has a higher standard than Federal.

DAW
07-18-2008, 11:09 AM
Also, while many Exempt classification have a Salaried basis requirement as discussed, there is more to the Exempt classifications then that. There are also Duties tests and sometimes related Industry tests (such as a Mechanic working for an Auto Dealer). If you (the OP) are paid less then $455/week, then you have failed the Salaried basis test associated with many Exempt classifications, but even if you pass that particular test, this does not by itself mean that you are legally Exempt.

rawccn
07-18-2008, 11:46 AM
Does anybody have a link to find this information on a government website? I want to be able to present this to my director.

ScottB
07-18-2008, 01:22 PM
http://http://www.dol.gov/dol/topic/wages/overtimepay.htm

That will give you a start.

DAW
07-18-2008, 01:29 PM
http://www.dol.gov/esa/whd/regs/compliance/fairpay/main.htm

ArmyRetCW3
07-18-2008, 08:18 PM
http://www.dol.gov/esa/whd/regs/compliance/fairpay/fs17g_salary.pdf

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