California Employment Law
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Thank you for your quick response.
The legal opinion you linked (McKayFund.org Re: Exempt Employees and Salary Deductions) was written prior to the Conley, et. al. v. Pacific Gas & Electric, (2005) ruling. The opinion states that in any kind of personal time off from work (including leaving early, etc.), leave may only be reduced if employee is absent a full day.
I need a link from the official ruling from the Conley, et. al. v. Pacific Gas & Electric, (2005) case. IF you can draw attention to specific lines or statements that would be helpful to me, especially because nothing I've read so far on the case states that the time spent away from the office has to be at least 4 hours, or that the deduction must be pro rate time.
What are the consequences if my pay is reduced for a less than 4 hours leave, with disproportionate PTO deduction (would I lose my exempt status, would my co-workers that report to the same manager lose theirs as well)?
Thank you s much! Can you link the ruling or DOJ/L site? Also, I believe the PGE ruling was referring to PTO, wasn't it?
Under the final rules, employers may take deductions from employees' leave accounts for partial day absences, the same as under the old regulations. The preamble specifically states that "employers, without affecting their employees' exempt status, may take deductions from accrued leave accounts...." 69 Fed. Reg. at 22178. The preamble also cites approvingly to a number of Wage and Hour Division opinion letters allowing deductions from accrued leave accounts. Additional opinion letters, dated December 4, 1998, May 27, 1999, and February 16, 2001, similarly provide that employers may reduce the amount of accrued paid leave in an employee's Paid Time Off plan, even if the employee is absent only for a partial day. The employer may reduce the leave so that the employee has a negative leave balance. However, the employee must receive the full guaranteed salary, even if there is no leave in the account or there is a negative balance, if the employee has only a partial day absence.
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