Decreasing Exempt staff hours in lieu of RIF

St Bens · July 2004

Can an employer request exempt employees to voluntarily reduce their hours worked due to financial hardship in lieu of a full-fledged RIF action? Or should the employer reduce salary by a percentage across-the-board? Has anyone else had to address exempt wages during cut-backs? (Private, not-for-profit organization)

Pork · July 2004

St Bens: You can only reduce salary amounts across the board and let the event cause the possible resignations. You cannot effect an exempt employee's salary with the reduction of hours worked in any work week. Under the new rules for the FLSA you will be able to reduce an exempt's pay check for disciplinary purposes for whole days suspended.

Hope this helps and welcome to the forum.

"Dandy PORK"

St Bens · July 2004

Thanks for your input. That's what I thought, but just wanted to get confirmation.

sonny · July 2004

When I worked for a PNP we never cut wages, tho there were a few years when we did not get increases. I would avoid this if you could.

sonny · July 2004

EDIT..I would avoid the pay cuts, if at all possible.

Decreasing Exempt staff hours in lieu of RIF

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