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Salary to Hourly?? IL

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  • Salary to Hourly?? IL

    I have been a salaried employee for the last 5 years. Recently, we have had a change in our general manager. This past week he informed me that my status would be changed from salaried to hourly because I did not supervise at least 5 people. First of all, I am not disputing the company's right to do this, however they are justifying the change by citing a state or federal law. My question is this, Is it true that to be a salaried employee in Illinois, you must supervise at least 5 people? I have been unable to find any info to support this claim, but much to the contrary. (including, I might add, several people that work in our company who are also salaried, but manage no one, plus my husband who manages only three people). Again, I know that there is really nothing I can do to change it, but I would like to know if this an actual law, or a case of an employer just trying to "blow smoke".

  • #2
    No, there is no such requirement. However, there are a great many people who honestly believe that supervision of two or more employees (I've never heard five before - there is a legal basis for the belief of two employees even though the basic belief is incorrect) is required for exempt status. So it may not be the employer blowing smoke - they may honestly believe it to be true.

    In actual fact, there are several possible exemptions under the law. For the Executive exemption ONLY, supervision of two or more employees is required. For the Administrative, Professional and Computer exemptions, however, no supervision at all is required for the exemption to fit. A lot of people who should know better are confused by the distinction.

    You are correct that regardless of the law, they have the right to make this change.
    The above answer, whatever it is, assumes that no legally binding and enforceable contract or CBA says otherwise. If it does, then the terms of the contract or CBA apply.

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    • #3
      Thanks

      Thank you. It makes me feel better to know that I'm correct, even if it doesn't change anything.

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