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I need opinions on whether my employer is in the right or wrong. Even if what they're doing is legal, I wouldn't say it's ethical.....

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Anonymous

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I need opinions on whether my employer is in the right or wrong. Even if what they're doing is legal, I wouldn't say it's ethical.....

I've tried to do research into some of the FLSA laws regarding salaried and remote employees but the only thing I'm becoming is more confused.

I'd like to see anyone with experience in HR or legalities to weigh in on this. I've been with my employer for several years, but this year they've made some policy changes. These changes only seem to benefit the employer and are impacting the health, welfare, morale, and now the paychecks of the average employee.

I'll try to simplify this more than it actually is:

I do not perform any of the job duties related to my job title. My offer letter included a specific role, but when I started, I was quickly transitioned to a different role.

My offer letter specified that the healthcare premiums for myself and my dependents would be paid in full by my employer, I had to sign for and acknowledge this benefit. Midway through this year, the company notified us, with ample warning that they would no longer cover the cost of our premiums. We did not have to sign for or agree to this change.

All employees are on a fixed yearly salary, and we do not have set working hours as we're involved in a 24/7 business. All employees are given a set number of personal/sick days and vacation days.

Midway through the year, the employer notified us that they had started making changes to their time off policies in January.

When employees are away from their desks for more than an hour during a day - for any medical appointments, etc. the time we're missing is being docked from our available days, starting with our sick days. If we miss 3 hours for an appointment, they deduct from our sick/personal days, when that dwindles and runs out, they deduct from our vacation days, when that dwindles and runs out, they deduct any additional time from our paychecks using a formula they've created, as we're not paid by the hour.

The company doesn't offer any kind of balance or allowed accommodations for the time we miss. If we have no available time off left, and we miss an hour for an appointment, our paychecks will still be docked for that hour, even if we've worked 60+ hours that week. If we miss an hour for an appointment, that hour is still docked, even if we've skipped our lunch hour one day, or even four days in the same week.

It seems our employers want to pay only on a salary basis but want the regulations to be applied as if you were an hourly employee.

There is talk of some employees being sexually harassed by one of the owners and employees complaining of general toxicity and hostility in the workplace.

I read something in the FLSA regulations that stated, 'If an employer deducts from an employee’s predetermined salary, it can be concluded that the employee is not being paid on a “salary basis”.

Are we even salaried employees if our checks can be deducted from? Does that mean they should theoretically consider us to be non-exempt and pay us on an hourly basis? Does this mean that type of behavior is legal and acceptable? I'm very curious to see what you all think on this topic.

I've also considered looking into legal help and getting an attorney, but quite frankly, I can't afford that right now.

Thanks in advance!

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  1. Anonymous

    First, everyone's pay is calculated hourly. Salaried workers are paid based on 40 hours per week. This is how they determine compliance with minimum wage laws and other pay-related statutes and calculate pay when there is time off without it.

    Second, this is not a proper forum for legal advice, especially regarding employment law, because it varies by state. So, take that into consideration before moving forward with anything that could be suggested here. Your best source would be your state's Department of Labor (DOL), Labor Board, or whatever your state calls it. You can also contact the state's bar association to check for employment lawyers who can advise you.

    Third, I am not an employment attorney and work in an at-will state, but the only thing I see that is hinky here is sexual harassment, as that has federal prohibitions. If it is part of your experience, you can talk to your HR EEOC representative. At-will states are employer-friendly, meaning employers can do anything they want to as long as they stay within federal guidelines for things like discrimination, safety, etc.

  2. Anonymous

    I just skimmed this and stopped at the point where you are complaining that you take sick leave if out of office for 3 hours or more? That's pretty standard, and ethical. Lucky you if it didn't happen before! If you use up your leave, yes, then unpaid-time-off can be applied. This is not uncommon for someone with excessive absences.

    Now the kicker is you believe you are working 60 hours or more per week during the pay period you are being docked-- is that documented somewhere? How is the time worked accounted for? If you're not documenting it then do it right now. Start a spreadsheet with your hours. Track it daily.

    What you seem to need is a "flex time" policy.

    Have you sat down and spoken to leadership about this conundrum?

    You likely should talk to an attorney IF you are putting in 60+ hours at your desk per week but getting docked for missing 3-hours for an appointment. If you don't have set hours, how are they saying you are away? Can you tell I'm confused?

    Do talk to an attorney- and start a job search.

    And if you've gone through your sick leave, and personal leave, to the point of unpaid time off, then something must be seriously amiss on your side. I'm sorry if you have a health problem or disability. Perhaps consider getting intermittent FMLA if your company is greater than 50 employees. If you have a disability that requires the time off, perhaps speak to your doctor about what would be reasonable accommodation to protect you. This or FMLA will provide some protection for your job.

    Good luck - but bottom line answer is yes salaried employees can have deductions taken from their pay for non-worked hours.

  3. Anonymous

    Many companies have set PTO timelines. If you miss work, and you can't use your PTO by the hour, like I can, then you don't get paid. If it were me, I would be looking for a job elsewhere. If you are working for a company that is not ethical in your opinion, or isn't paid fairly, or whatever the case may be, update your resume and focus your energy on getting a new job. I'm not sure if you have taken a lot of time off, but if you work 60 hours a week, how do you even have time to go to doctor appointments. Something sounds really off about the company you're working and instead of trying to find the fix, realize you're not happy there and seek work that matches your needs. A positive culture, a regular 40 hour work week, no over time, sick leave, annual leave or better PTO. Hang in there and focus on finding a better opportunity. It sounds like you are very stressed out. Focus on change, and a new journey! Keep us posted and good luck!

  4. Kris Wolfram

    Benefits change all the time and what you are hired with can change (premiums for medical change during open enrollment). Yes, they can deduct for time away if you have a sick leave or PTO balance. If you are exempt,

    they cannot deduct pay if you do not have a bank to use or once that time bank is exhausted unless there is some other leave law in play. They seem to be treating you as an hourly employee. If they are going down this path, they should be aware they may owe overtime. You should seek legal advice and look for a new job.

  5. Anonymous

    Evidently your company is hitting some hard times and has to focus on managing time as a cost savings measure.

    There doesn't appear to be anything you've explained. These changes are within their rights to best manage their cost of labor.

    I would consider looking elsewhere if their micromanaging is an issue for you.

  6. Kristen McFadden Gandhi

    seek legal advice! The answer absolutely depends on the state you work and the prevailing law in your contract. Talk to an employment attorney in your state. In the contract you signed it probably has a clause allowing them to make changes to policy like this, but again, seek legal advice relevant to your location not something in a forum. There is indeed a chance they are violating the terms of salaried employment and you could have a case - but this is state by state.

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