Recent HR HeroLine e-newsletter

A Q&A in the recent edition of HR HeroLine has me a bit concerned that the answer didn't go far enough and I wondered what others thought. The question was about someone who was goofing off 2 hours of his 8-hour workday and she asked if they could dock 2 hours a day from his timecard. The answer was basically the following:
"It's a different matter, however, if he takes a newspaper to the employee lounge every morning and spends a half-hour reading it when he's supposed to be working. Then it would be permissible by the wage and hour law to deduct a half-hour from his timecard every day. From a legal point of view, it wouldn't violate the Fair Labor Standards Act since the employee really didn't do any work and wasn't at his workstation."

This answer seems odd to me because it didn't even clarify or ask the poster whether the employee was exempt or non-exempt, and if the employee was exempt, can you really deduct 2 hours from a timecard during a day in which they performed some work? I guess my main confusion is why the answer didn't clarify exempt vs nonexempt status and that seemed like it should be an important part of the answer.

Anyone else read the Q&A? Am I just reading this wrong or missing something? x:-/ Or do I just need need a vacation with sunshine, blue skies and mai tais?!x:9

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