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Keeping employees on track—and on the clock
January 16, 2008
Q: My chief buyer is a salaried employee, who is not paid overtime. He supervises three employees. He has been showing up late, taking long lunch breaks and leaving early. When I confronted him, he said that he is not required to account for his hours because he is salaried and must be paid his full salary. I want to dock his pay for hours he does not work to force him to be more punctual. Can I do that? A: Sounds like your chief buyer has figured out how to take advantage of his “exempt” status. There are very few circumstances under which you can dock the pay of an exempt employee, especially by the hour. Exempt employees are not paid by the hour. I would remind this employee that he is responsible to supervise employees and that you expect him to be at work during the hours his employees are required to be there.
Keep in mind that you can also change this employee from a salaried status to an hourly status. There is no requirement to pay an employee as a salaried person, exempt from overtime, even if the work performed by the employee allows it. There is probably no faster way to get an exempt salaried employee to return to punctuality than to suggest that you will put him on a timesheet and pay him by the hour.
Posted by Nancye Combs on January 16, 2008 | Comments (7)
In response to: Keeping employees on track—and on the clock
Cred commented:
No. You cannot make a supervisor a non-exempt (hourly) employee. That is aginst the law. What you can do is to explain to the salaried supervisor that they are expected to keep normal business hours and to get their job done and that repeated absences from work are unacceptable and will cause disciplinary action. My guess is that you need a new chief buyer.
In response to: Keeping employees on track—and on the clock
aa commented:
I would find a new chief buyer. Procurement is a key role, especially in the current economic environment. Chances are he is not peak performer when he is on the job.
In response to: Keeping employees on track—and on the clock
Nancye Combs commented:
The suggestion to me to put this person on the clock came from the US Department of Labor, Wage & Hour Division Agent, who said he knew of no regulation that requires any employer to pay a person a salary just because his scope of work allows it. He told me every employee can be paid hourly if the employer chooses to do it. I would be very interested in learning the source of your information as I teach this subject and I always want to be well-informed. Thanks. Nancye Combs
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In response to: Keeping employees on track—and on the clock
Trevor commented:
Sounds to me like this person has not only checked out early for the day...but maybe from the job. That is a pretty disrespectful position to take and it shows a lot of contempt for the company. I would talk to him.her about their attitude and consider looking for their replacement.