Our team of experts fields real-life, everyday questions from HR managers and gives practical answers that can be applied by any HR pro in the same situation. Today’s question: Some exempt employees want to work fewer hours. Will a pay cut violate the Fair Labor Standards Act?
Some of our employees who are exempt under FLSA want to cut back their time from 40 hours a week to 35.
Can we decrease their pay by an amount proportionate the decrease in time? Or would that put us in violation of FLSA?
No problem with decreasing their pay proportionately, says Caryn Pass, a labor attorney with Krupin O’Brien LLC.
Remind those employees, however, that if they cut back and then work extra time, they don’t get overtime pay for any time worked over 35 hours.