As a General Manager, should I be paid a salary?

UPDATED: Sep 30, 2022

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As a General Manager, should I be paid a salary?

I am currently a General Manager of a food service based company. I am in charge of the daily operations as well as hiring and terminations. I am also required to take phone calls and handle

store issues on my own time. The company adds an extra hour of pay a week but that doesn’t always cover the time I spend handling things. I am an hourly wage so if I am not clocked in at the store then I am not being paid.

Asked on July 24, 2017 under Employment Labor Law, Kentucky


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 5 years ago | Contributor

1) There is no law requiring that a manager be salaried; an employer can pay you an hourly basis if it likes. Certainly, it is common to pay managers a salary, but it is not illegal to pay them hourly.
2) However, based on what you write, you are being underpaid and may have a wage claim against your employer (and it would likely be better for them to make you salaried):
a) Hourly employees must be paid for ALL time worked. So if you spend more time working than the extra hour they pay you, they are violating the law (e.g. the Fair Labor Standards Act, or FLSA) and you could seek the back pay you should have received.
b) Hourly employees are not exempt from overtime: you should have been receiving overtime (time-and-a-half) for all time worked past 40 hours in a week. You may therefore be owed back overtime.
Contact the Dept. of Labor to file a wage-and-hour complaint; they should be able to help you. If they don't, you could sue your employer for the money they should have paid (based on the hours you worked) but didn't.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

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