Do hourly employees get paid less?
Salaried employees are usually not paid based on the hours they work; instead, they are paid the same amount each pay period, based on their total salary. An hourly worker, on the other hand, earns a set payment for each hour they work.
How are hourly employees and salaried employees paid?
Since salaried employees are paid annually, and hourly employees are paid by the hour, their pay calculations are very different. Example: A salaried employee is paid $20,000 a year. This salary is divided by the number of pay periods in the year, as set by your company, to determine the salary for each pay period.
What’s the difference between hourly and full time employees?
There is no federal requirement that an hourly employee must be given a specific number of hours of work a week. Employees who work less than full-time are considered part-time, and they may have different pay rates, benefits, and paid time off than full-time hourly employees.
Can a company legally cut your pay or hours?
To be legal, a person’s earnings after the pay cut must also be at least minimum wage. Even with a pay cut, non-exempt employees (hourly wage earners who make less than $455 per week) are generally guaranteed overtime pay.
Can a company reduce the hours of an employee?
If the employees do not agree to the reduction in hours, and the employer wants to reduce their hours regardless, then a redundancy process carries the least risk for the business, provided the redundancy is genuine.
Is the employer required to pay you for all hours you work?
Yes, under the FLSA, your employer is required to pay you for all hours that you work, regardless of whether the work is performed at home, at a location other than your normal workplace, or at your office.
To be legal, a person’s earnings after the pay cut must also be at least minimum wage. Even with a pay cut, non-exempt employees (hourly wage earners who make less than $455 per week) are generally guaranteed overtime pay.
Is it legal for an employer to lower your salary?
The employer must pay you the agreed-upon salary for work you’ve already done. Bosses can absolutely lower salaries just like they can raise salaries. But, what they can’t do is lower your salary without telling you in advance and you (the employee) must agree to it.
When is an employee not paid on a salary basis?
If the employer makes deductions from an employee’s predetermined salary, i.e., because of the operating requirements of the business, that employee is not paid on a “salary basis.” If the employee is ready, willing and able to work, deductions may not be made for time when work is not available.