Can my employer switch my employment from exempt to non exempt employee

UPDATED: Oct 1, 2022

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Can my employer switch my employment from exempt to non exempt employee

My employer is switching my status from exempt employee to non exempt. Also
changing my title from a manager. Salary does not change but does this affect my
benefits and is this allowed by Texas law?

Asked on October 20, 2017 under Employment Labor Law, Texas


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 5 years ago | Contributor

1) It is completely legal unless it is in violation of some written employment contract you have. Otherwise, except as set forth in a contract, your employer determines how you are paid (exempt vs. non; salary vs. hourly), how much you are paid, your title, your resonsibilities, etc.
2) If you are not going to have true managerial resonsibilities, you probably should be be non-exempt; many salaried employees do not actually meet the criteria to be exempt, especially many non-managers. You will be overtime eligible now.
3) Whether it affects your benefits is up to your employer; the employer determines employee benefits.

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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