Q: Is it legal to switch someone from salary to hourly?
My husband started with a company last year. The company cut his pay 10% due to covid even though their sales have gone up. Then a couple weeks later they switched him to hourly. They said by the 10th of this month he would have his 10% back and now are refusing to raise pay back up. Also, the boss admitted to a designer that they furloughed and brought back that they could quit because he can find people to take much less money now. Is it legal to switch him and to lower his pay. Also, I feel the company is trying to push people out to get cheaper labor
A: Yes. It is always lawful to switch a person from salary to to hourly. However, it may not be lawful to switch an employee from hourly to salary. It is also lawful to reduce an employee's wages with a couple of caveats. First, the reduction cannot be below the required amount, i.e. minimum hourly wage for non-exempt employees, minimum weekly salary for exempt employees. Second, it cannot be retroactive, i.e for pay periods already worked. Of course, as a side note, reduction in pay can be unlawful if there is an unlawful motive even if the employer complies with the above, i.e. reduction is due to unlawful discrimination or unlawful retaliation.
Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.
The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.
Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.
