Is it legal for an employer to reduce your hourly wage?

Is it legal for an employer to reduce your hourly wage?

Perhaps the most obvious way to reduce staff costs is simply to reduce your workers’ hourly rates, but it is also something that’s virtually impossible for employers to do legally by themselves. Only the Fair Work Commission (FWC) can alter the rates of pay in awards or the minimum wage.

Can an employer cut a salaried employee’s pay?

DLSE has opined that its enforcement policy, in keeping with the stated intent of the Legislature and the California courts interpretation of the California law, will not permit a reduction in the salary of an exempt employee which is the result of a reduction in the number of hours in a workday or days in a workweek …

Can the employer deduct from salary for partial days of absence?

The California Labor Commissioner’s Office allows deductions of no more than one-fifth of a week’s salary for each day of absence, even if the employee normally works fewer than five days per week. Partial-day absences: Deductions from an exempt employee’s salary for partial-day absence are not permissible.

How can I legally reduce employee hours?

Yes, it’s legal—so long as you can justify your need to do so. For the reduction in working hours, employment law does require you to provide a legitimate reason. And it’s important to remember you keep your employees well informed during the process. You’ll also need to gain their agreement on the new hours you have.

Can you deduct sick days for salaried employees?

Deductions from pay are permissible when an exempt employee: is absent from work for one or more full days for personal reasons other than sickness or disability; for absences of one or more full days due to sickness or disability if the deduction is made in accordance with a bona fide plan, policy or practice of …

Can salaried employees use PTO for half days?

Exempt employees are required to use their PTO hours when they are absent from work for partial or full days. Deductions from accrued PTO are made for partial-day absences of any length. Rhea filed a class action lawsuit alleging that General Atomic’s PTO policy violated the California Labor Code.

What to do when your boss cuts your hours?

  1. Unless you have an employment contract or bargaining agreement to protect you, your employer can reduce your work schedule at any time.
  2. Try negotiating you contract to freelance on the side, find a new job or ask for better benefits to make up for the lost hours.

Can my boss take back my raise?

Employers can cancel a pay raise in most states without violating labor laws. If you are a member of a union, you may have some recourse, and circumstances regarding the revocation of your added compensation also may give you a foothold to file a complaint to regain your increase.