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If you improperly dock pay of a salaried employee, you can face overtime pay, back taxes, and penalties. Under the FLSA, employers can reduce an exempt employee’s salary only in limited and specific circumstances :
The term ‘‘dock one’s pay’’ means to cut down the salary of an employee as a form of punishment. Such a reduction can be a result of late coming, misconduct, or even for not meeting some set standards at the workplace.
1 gru 2007 · We have been challenged by an employee who claims that all employees get a “grace period” of seven minutes before they can be reprimanded and docked any pay when late for work. For example, if the shift starts at 8:00 a.m. and the employee arrives at 8:07, the employee should be paid for the seven minutes and not be reprimanded for tardiness.
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8 lip 2015 · Although employers can safely require exempt employees to clock in and out, tackling a tardiness problem by docking their paychecks is a different matter. Another employer’s human resources department asked about the legality of a CEO’s decision to dock workers’ pay $25 for every five minutes an employee is late.
Docking Pay for Clocking in Late. Employers are generally allowed to deduct an employee’s pay for arriving late, but there are exceptions and limitations. Due to their salary basis, exempt employees may face restrictions on docking pay for partial days missed.
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