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Tina, Attorney
Category: California Employment Law
Satisfied Customers: 33167
Experience:  JD, 17 years experience & recognized by ABA for excellence in employment law.
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in a California Corporation can I hire an employee into management

Resolved Question:

in a California Corporation can I hire an employee into management and have the company pay their medical insurance when we don't pay medical insurance to other employees that will be working under this manager?

Thank you,

Submitted: 5 years ago.
Category: California Employment Law
Expert:  Tina replied 5 years ago.
Hello and welcome,

Is this employee classified differently, such as full-time when the other employees are part-time, or is there some other distinction?

What is the reason you will be offering benefits to this employee and not the other employees?
Customer: replied 5 years ago.

all sales employees are full time. We currently do not have a sales manager and are creating this position because our sales staff are not meeting their sales goals but we do not want to let them go. So we need to manage them better and also this new person coming on staff would also sell.

Expert:  Tina replied 5 years ago.
I see.

So the new employee would be a member of management while all of the other workers would be commissioned sales people. Providing benefits only to management level employees is typically permitted by law.

As long as an employer does not discriminate against employees based on race, gender, age, disability, or other protected status, there would normally be no grounds for them to pursue legal action for providing benefits to one group of workers and not another.

Here is a link that sets out the protected categories of workers:

I hope you found my answer helpful, even if the law is not in your favor. I would be happy to clarify my answer if anything is not clear or you are looking for additional information. All the best to you!

Customer: replied 5 years ago.
The sales staff are also on salary with commission currently. However the new manager would be salary with commission and medical insurance and they would be considered management and the other sales staff would not. Does this pose a problem?
Expert:  Tina replied 5 years ago.
No, as long as there is a clear policy indicating the distinction to be eligible for benefits regardless of race, gender, or other protected status, there should not be grounds to challenge the policy as unlawful discrimination.

Customer: replied 5 years ago.

a bit confused by your answer. In our employee manual given to all employees and signed by them we of course say we do not discriminate when hiring blah blah blah but nothing specific about discrimination regarding the benefits offered. Is there a difference? I just don't want a sales person crying discrimination if this manager gets the medical and they don't. What do you think?


Expert:  Tina replied 5 years ago.
No, there isn't a difference and I apologize for any confusion I may have created. I was merely attempting to restate the law that employees not be discriminated against on the basis of race, gender, age, disability, or other protected status. As long as the policy is not discriminatory in any manner, it would normally be permissible under state and federal law.

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