Sign in to follow this  
Followers 0
jodigirl500

NJ State mandate regarding salaried employees

5 posts in this topic

I'm a bit confused. My husband took a pay cut to move up in his company which is a large retail auto repair/ supply store in NJ. He was transferred to a brand new store to work as an assistant manager, where both he and the manager are paid salary, not hourly.

After a few weeks, the regional manager informs him there is a NJ State mandate that a company cannot have 2 salaried employees when that location is doing less than 80 billable hours worth of work and subsequently demotes him to a salaried employee, drastically reducing his pay again.

Does such a mandate exist? I have searched high and low for documentation supporting or disproving this and have come up with nothing!

Does he have any course of action?

I'd appreciate any feedback!

Thanks!

Share this post


Link to post
Share on other sites

After a few weeks, the regional manager informs him there is a NJ State mandate that a company cannot have 2 salaried employees when that location is doing less than 80 billable hours worth of work and subsequently demotes him to a salaried employee, drastically reducing his pay again.

Does such a mandate exist? I have searched high and low for documentation supporting or disproving this and have come up with nothing!

I'd call BS on that "mandate."

But it doesn't really matter. In the absence of a real employment contract or collective bargaining agreement, the employer can pay the employee whatever it wants as long as it's not below minimum wage and can use any excuse it wants to justify it regardless of whether the excuse is true or made up.

That's how work works.

Does he have any course of action?

Sure.

He can seek employment elsewhere.

But that's it.

Share this post


Link to post
Share on other sites

The manager may be referring to a company mandate within the New Jersey district of the company. Sadly, if this matter was in New York, it is largely irrelevant if the law is valid or not as the employer can set the conditions of employment barring some agreement to the contrary.

Share this post


Link to post
Share on other sites

After a few weeks, the regional manager informs him there is a NJ State mandate that a company cannot have 2 salaried employees when that location is doing less than 80 billable hours worth of work and subsequently demotes him to a salaried employee, drastically reducing his pay again.

Does such a mandate exist? I have searched high and low for documentation supporting or disproving this and have come up with nothing!

No, no such state law or regulation exists. State and federal laws set the minimum that employees must be paid. They don’t set maximums and don’t interfere with business decisions to the extent the manager implied here. What likely happened is the manager told the employee that knowing that if the employee believes it was required by law the employee would give less push back on it.

Does he have any course of action?

I'd appreciate any feedback!

Thanks!

Sure, he can challenge the manager on this, tell the manager no state law requires what the manager claimed, and tell the manager he won’t work for the lower amount. But if the company really doesn't want to pay more for the work he does, the manager will say no and your husband will have to follow through and quit unless he wants to cave and basically show the manager that the company can walk all over him. Or the manager may simply fire him. Either way, if he wants to challenge the pay cut, it'd be a good idea to have another job lined up as a fall back.

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!


Register a new account

Sign in

Already have an account? Sign in here.


Sign In Now
Sign in to follow this  
Followers 0