Inside Sales/Exempt or Non Exempt

Mooney

We have inside sales people who also get paid on commission. Half of our people are on salary and the other are hourly. Could we change all of our inside sales people to salary.

Margaret Morford

If you require your inside sales people to be at the office at certain hours, furnish their telephones, work materials, desk, etc., they are non-exempt. All of them should be non-exempt. Nothing sends a red flag up to Wage and Hour faster than to have employees holding the same job be classified in both the exempt and non-exempt categories.

Margaret Morford
theHRedge
615-371-8200
[email]mmorford@mleesmith.com[/email]
[url]http://www.thehredge.net[/url]

Theresa Gegen TX

It can be a very dicey issue for an employer to change employees from exempt to non-exempt. Some employees get very angry about losing their "salaried" status. And some employees may think, you know what, I am owed overtime -- so I should be paid -- and haul off and file a wage claim.

I would look very closely at the employees job descriptions and try to reconstruct why some are exempt (are some susposed to be supervisors, etc). If the employees are misclassified, it needs to be corrected, but how you do so is critical.

I suggest you get professional help before changing job classifications.

Good Luck!

Margaret Morford

Theresa is right. Telling someone you are changing his/her classification is very tricky. If you will search the Forum there are several threads on how to manage this and minimize the chances of your employees going to Wage and Hour. It sounds as though you need to have a compensation specialist review your job classifications. I can refer you to an excellent one if you need one.

Margaret Morford
theHRedge
615-371-8200
[email]mmorford@mleesmith.com[/email]
[url]http://www.thehredge.net[/url]