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Can you reduce the hours of a salaried employee?
You may be able to reduce an employee’s hours, which may effectively reduce the amount you are paying them, but their hourly rate of pay would stay the same. Agreed hours of work per week must be in the employment agreement and if an employee has set days, hours, start and finish times, it is best to include these too.
Can my employer reduce my salary without my consent?
Section 9A as read with Schedule IV attached to the Act provides that any such reduction in salary/wages or work time or days will amount to change in conditions of service. As per the Act, no such change can be effected without furnishing concerned workers with 21 days notice prior to such change.
Can you reduce an exempt employee’s salary in California?
Generally. As a general rule, a California employer may lawfully reduce an exempt employee’s salary, on a prospective basis, so long as the employee’s guaranteed salary does not drop below two times the California minimum wage.
What are my rights if my employer wants to reduce my hours?
Can your employer reduce your hours, or lay you off? The short answer is – only if your employment contract allows it. If not, your employer will have to negotiate a change to your contract. Typically, this will involve many members of staff.
Is Reduced hours a reasonable adjustment?
Reduced working hours to accommodate a disability are a common example of an adjustment that may be reasonable under the Equality Act 2010 and this is also included as an example of a possible reasonable adjustment in EHRC guidance.
Legal protections against pay cuts
Even though pay cuts are usually legal, there are some measures in place to protect workers. For example: The employee must be notified about the pay cut in advance. The employee must agree to the pay cut; alternatively, they may choose to leave the employer.
An employer can cut employees’ pay if they consent to the change to their contracts. Employees may agree to such a change if it is clear that cuts are needed and the alternative would be redundancies.
Are companies allowed to reduce your salary?
A: It is illegal in terms of Section 34 of the Basic Conditions of Employment Act for an employer to make a deduction from an employee’s salary without consent or without following a fair procedure. A salary is a contractual right. Reducing it without consent is indeed a breach of contract.
How many hours can an exempt employee work in California?
Exempt employees may not be eligible for overtime or breaks. However, exempt employees must be paid at twice the minimum hourly wage based on a 40-hour workweek. As an exempt employee, an employer could require the employee to work more than 40-hours per week without overtime pay.
Can you dock a salaried employee’s pay in California?
The short answer is “yes.” The rule of thumb under the Fair Labor Standards Act (“FLSA”) is that the regulations do not permit an employer to dock pay from a salaried, exempt employee. Doing so, can cause an entire class of employees to suddenly go from exempt to non-exempt and thus, entitled to overtime.
What are the rules for salaried employees in California?
A salaried employee should be paid no less than the number of hours worked at the California minimum wage rate. For employees working a full-time job at 40 hours per week, the minimum salary should be no less than $560.00 per week, or $29,120 per year.
How do you tell an employee you are reducing their hours?
Dear [employee name], We regret to inform you that, due to [list your reason here—budget cuts, lack of work, company reorganization, etc.], we will be reducing your working hours from 40 hours per week to 20 hours per week.
Can your working hours be changed?
If your contract is clear and says that your employer can make the specific change that they want to make e.g. to vary or reduce your hours, then your employer may be able to make the change without your agreement. Although you may still have rights to protest the change.
How do you cut hours and keep employees?
There are two main ways to reduce staff: permanent layoffs and temporary layoffs. In a permanent layoff, a small business usually targets a certain group, such as poor performers, the newly hired or those earning the most money. Another way to reduce staff is to offer a buyout.
Can my employer reduce my hours ACAS?
By law, employers can lay off employees or put them on short-time working if it’s either: included in the employee’s employment contract. custom and practice in your workplace, with clear evidence.