exempt

mmurnahan · September 2003

If you have a full-time manager (exempt) scheduled to work 40 hours per week. And then you make the position part-time. But the employees continues to perform the EXACT same job description with the EXACT same supvisory authority and independent judgement, etc. The only thing is that the employee will be scheduled for 20 hours per week -- not 40 hours per week. Would you make that person non-exempt or keep her exempt and change her hours per week for pay to 20? We have a difference of opinion in our office.

My opinion was that we keep her exempt and she is scheduled to work 20. Just like me (who is scheduled to work 40) if I work more I do not get OT and if I work less I am not docked. But others in the department feel that exempt can only be 40 hours per week.

Thanks. I need answers and soon as possible please.

Hatchetman · September 2003

If this reduction from an expectation of 40 hours per week to 20 hours per week in the exempt employee's schedule is permanent (i.e., you'd be hiring another 20-hour employee to do this job if the current employee left), then reduce the salary accordingly and keep the employee exempt. DOL interpretation of FLSA does permit it.

Shadowfax · September 2003

Also be sure you don't fall below the min salary for the exemption.

marc · September 2003

So what happens if the exempt employee with a 20 hour schedule works 25 hours? No adjustment in pay?

Hatchetman · September 2003

The same thing that happens when the 40 hour exempt employee works 50 hours.

Nothing in the way of more compensation.

Don D · September 2003

The FLSA determination of exempt or non-exempt status is to be based on the duties of the job, not it's incumbent or his hours. An employer is at liberty to restructure pay rates at any time, including when he thinks the position is worth more or less than it was paying, using whatever analysis criteria he wants to use. A contract may get in the way, but he has pretty wide lattitude, in fact unrestricted lattitude.

exempt

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