Salaried Staff

[Drwells]

Are salaried staff immuned to salary pay reductions/hours during times of economic downturn?

[chip anderson]

Only if you reduce them to below minimum wage.
Or if you have a contract with them.
But you run the risk of them looking for greener pastures.

Chip

[rbaker]

Sure . . .why not. Wages can rise or decline at the whim of the owner of the business.

Of course, some businesses use these troubled times to take advantage of training and education that will bear fruit when the market returns to normal.

It is the later case that yields a long term gain.

[chip anderson]

I wonder what effect on the the bottom line would be if the prescribers went back to working an eight hour day, 5.5 day week? Probably wouldn't have to cut wages or let anyone go. Probaby could still make the payments on the boat and the Porche.

[GOS_Queen]

http://www.nclabor.com/wh/fact%20sheets/chwages.htm

I noticed that you are in North Carolina -

I think this link might help you.

[Judy Canty]

Out of curiosity, does that include your own salary as well?

Remember that this is the same staff that probably worked their hearts out when your office was busy.

Is this really a fair thing to do?

How will your practice fare if and when they leave? After all is said and done, your staff needs to pay their bills and feed their families as well.

[For-Life]

Out of curiosity, does that include your own salary as well?

Remember that this is the same staff that probably worked their hearts out when your office was busy.

Is this really a fair thing to do?

How will your practice fare if and when they leave? After all is said and done, your staff needs to pay their bills and feed their families as well.

Brings up a good point.

If you do it, make it extremely clear that you are taking a pay cut too. The Nucor model (extremely successful US steel mill. More successful than international competitors, and the only one that tacks in profits in bad times) does that. This is why the employees work so hard.

Also, another good sign it to share a part of the wealth in good times. Of course, you are the owner and have put the risk in, so you deserve most of the profits. But a little can go a long way.

[sharpstick777]

Are salaried staff immuned to salary pay reductions/hours during times of economic downturn?

In some states "terms of hiring" can constitute a contract whether its written or not, in others a reduction in hours or pay could obligate you to paying unemployement compensation (there by reducing your savings).

Sharpstick