Employment status changed from Exempt to non exempt

Status
Not open for further replies.

splash

New Member
My question involves employment and labor law for the state of: Florida

Hello, I am a ten year employee of a sales organization recently purchased by another organization in North America. I am not an executive, but labeled with a managerial status according to current payroll. I have always been an exempt employee, the hours were never an issue, it always been a give and take situation. I am now being changed to a "non exempt" classification by the new organization. They have taken my current salary (example 40k annually) and promised to continue paying this salary if I maintained a 50hr work week (not always possible). This being defined as 40hr salary with a supposedly 10 hours of overtime pay (base salary now 29K with OT). They have not given any alternative to this pay rate. I know... by them changing me to a non exempt employee, they have the ability/right to dictate how much they are willing to pay from week to week. With my experience in business, I am sure when things slow down (out of season) the hours will be cut. My question is... Is this perfectly legal? I have not signed or agreed to any of the terms of this change of employment and salary. What legal choices do I have against this organization? Can I legally persuade them to give a severance package (I know technically they don't have to) and terminate my employment? I know I always have the option of quitting, but this is risky without another job lined up or without the unemployment option. FYI, The previous corporation has given the standard 2 weeks pay per year of service in the past three layoffs in four years, This has been as recently as last February 2012. Please advise, it would be greatly appreciated!
 
I am sure when things slow down (out of season) the hours will be cut. That is legal regardless of whether you are exempt or non-exempt, barring a legally binding and enforceable contract or CBA that expressly and in so many words guarantees your hours.

They have not given any alternative to this pay rate. They have no legal obligation to.

Is this perfectly legal? Yes. It is always legal to make an employee non-exempt, though the reverse is not true. Even an exempt employee can be required to work a certain number of hours per week. The employer, not the employee, decides the terms of employment, and they can be changed as business needs, or the employer's whim, demands.

I have not signed or agreed to any of the terms of this change of employment and salary.
There is no legal requirement that you do so. The employer tells you what the terms of employment are. You work them or you quit.

What legal choices do I have against this organization? To take the job or not take the job. You have no grounds to take legal action against them, if that's what you mean.

Can I legally persuade them to give a severance package (I know technically they don't have to) and terminate my employment? If by "legally" you mean, do you have legal grounds to force them to give you severance and fire you, no. It is legal for you to try to persuade them. It is likewise legal for them to ignore your attempts.

I know I always have the option of quitting, but this is risky without another job lined up or without the unemployment option. That is correct.

FYI, The previous corporation has given the standard 2 weeks pay per year of service in the past three layoffs in four years, This has been as recently as last February 2012. That does not obligate them to continue to do so, unless a legally binding contract or CBA expressly and in so many words says they do.
 
Grateful for your insight!

Thanks for the information. I already knew I would have to suck it up... That's the way corporate America is operating these days. There is no value in Human assets. They continue to strive for doing more with less. I am capitalistic in nature and believe all should have the right to conduct business as they see fit. What sucks is that most corporations know they have the upper hand on such a poor job market. They use and abuse as they choose. Thanks again for your detailed professional insight. You have aided and confirmed my decision to leave my organization.
 
For your own sake, though, wait until you have another job before you do.

Also, for the purpose of managing expectations - nothing you have posted is remarkable and hardly qualifies as abusive. You appear to have been lucky enough to have worked for a pleasant organization and I sincerely wish you good luck in finding another one. But you're more likely to find conditions like the ones you are deploring that the corporate culture of the previous management. The new management's terms are really not as uncommon, or poor treatment, as you may think in the long run.
 
Agree that you can be made non-exempt as long as you are paid at least minimum wage for all hours worked & overtime when applicable.

Also agree that you should not leave until you have another job. If you quit, you don't receive unemployment ins.

Good luck.
 
Status
Not open for further replies.
Back
Top