Legal Question in Employment Law in Ohio

Changed from hourly wage to salary without consent

I have been working with a company in the medical field for many years. Recently, we received our paychecks and found that the company had changed all the ''hourly'' employees over to salary. This was done without any prior notification. Prior to this last paycheck, the company omitted paying overtime hours without explanation. Can the company change the hourly employees over to salary without notifying them of the change first? Can the company ignore paying overtime hours submitted prior to the changeover?


Asked on 3/08/06, 2:50 pm

1 Answer from Attorneys

Eileen Joyce Baughman & Joyce LLC

Re: Changed from hourly wage to salary without consent

The issues is not as much as whether notification was required (unless you are a party to a collective bargaining agreement or employment contract), but whether the employer is violating the laws governing overtime pay. In turn, under federal law, the Fair Labor Standards Act (�FLSA�) (Ohio has adopted the provisions of the FLSA), the answer depends on whether the law applies to your employer and whether you are exempt or non-exempt. Under the FLSA, non-exempt employees, but not exempt employees, must be paid overtime. Whether an employer is governed by the FSLA and whether an employee is exempt or non-exempt generally depend on, among other things, the following factors: (1) the type of business of the employer and whether the employer has annual receipts/sales of $500,000 or more; (2) the type of position you hold and your job duties and responsibilities; and (3) the amount of your salary and/or hourly wage.

In most cases, with few exceptions, an employee who is paid hourly rather than salary will be non-exempt and thus, must be paid over time. On the other hand, being paid salary does not necessarily exempt an employee from the FSLA overtime provisions. While it is very likely that you are entitled to overtime pay for overtime hours worked when paid on an hourly basis (and possibly even while paid on a salary basis), it depends on the variables identified above. Feel free to provide this additional information in a new post or email me directly at [email protected].

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Answered on 3/09/06, 9:52 am


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