Reducing salaries and hours: How to document? — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily

Reducing salaries and hours: How to document?

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in Employee Benefits Program,Human Resources

Q. We’ve reduced the salaries of our exempt employees and told them to work only 36 hours each week. Still, however, many of those employees continue to work 40 or more hours per week. Exempt employees feel uncomfortable documenting 36 hours, when, in actuality, they’ve worked many more hours than that. Should we ask exempt employees to document hours that are not necessarily true? — Anonymous

A.
No, your organization should never ask employees to record an incorrect number of hours. Employees should always record the number of hours they actually work.

Since the employees are exempt, however, they should be paid the same each week whether they work 36 or 40 hours. But if employees who saw their salaries reduced are consistently working more than 40 hours, you should evaluate the impact on employee relations.

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