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Company Wants to Fine Salaried Employees

Posted on 10/9/17 at 8:40 pm
Posted by Tarps99
Lafourche Parish
Member since Apr 2017
7349 posts
Posted on 10/9/17 at 8:40 pm
A company wants to start slapping fines on salaried employees for non safety mistakes such as failing to complete a task or non safety related mistakes.

Is this company wrong to do this?
Posted by TigerDeBaiter
Member since Dec 2010
10256 posts
Posted on 10/9/17 at 8:46 pm to
Yes, that seems wrong, but also very ineffective.

Instead the company should offer an incentive system to promote proficiently or efficiency.

If you don’t make said goals, you don’t get the bonus.

The other alternative is firing the slackers and hiring better people. I can’t see how docking someone’s pay will produce a better result:
Posted by monteandmakers
New Orleans
Member since Dec 2014
180 posts
Posted on 10/9/17 at 9:20 pm to
Sounds like a good way to kill employee morale.
Posted by TheWalrus
Member since Dec 2012
40370 posts
Posted on 10/9/17 at 9:32 pm to
Is that even legal?
Posted by Tarps99
Lafourche Parish
Member since Apr 2017
7349 posts
Posted on 10/9/17 at 10:26 pm to
That was what I was getting at.

I read La. RS 23.635. But that relates to wages and not salaries.

I did find something on the federal statues.

Section 29.3.541_1603
Posted by southernelite
Dallas
Member since Sep 2009
53140 posts
Posted on 10/9/17 at 10:43 pm to
Yes.


Who would work for a company like that?
Posted by LSUSUPERSTAR
TX
Member since Jan 2005
16303 posts
Posted on 10/10/17 at 7:27 am to
Please tell me which company so that I never work for them.
Posted by TheDrunkenTigah
Baton Rouge
Member since Aug 2011
17314 posts
Posted on 10/10/17 at 8:10 am to
In addition to this being a terrible idea in terms of effectiveness, it also sounds like a thinly veiled and panicked attempt to cut costs. I'd be printing resumes on the company copier, odds are the doors won't be open long enough for it to matter.
Posted by 50_Tiger
Dallas TX
Member since Jan 2016
39951 posts
Posted on 10/10/17 at 8:15 am to
quote:

In addition to this being a terrible idea in terms of effectiveness, it also sounds like a thinly veiled and panicked attempt to cut costs. I'd be printing resumes on the company copier, odds are the doors won't be open long enough for it to matter.


This is exactly what I was thinking.
Posted by foshizzle
Washington DC metro
Member since Mar 2008
40599 posts
Posted on 10/10/17 at 8:48 am to
Depends. For example, I work for federal contractor and our contract stipulates that employees will complete certain tasks. These are specified in advance and cover things like mandatory training courses (typically security), government ethics, and keeping our timesheets current.

I wouldn't get directly fined for such transgressions but it could definitely impact my performance review and/or result in me being removed from the contract.
Posted by OceanMan
Member since Mar 2010
19968 posts
Posted on 10/10/17 at 9:22 am to
Yep, I read OP as cost cutting.
Posted by LSUFanHouston
NOLA
Member since Jul 2009
37007 posts
Posted on 10/10/17 at 10:31 am to
I guess the alternative is being fired?

This is never a good idea. How effective of an idea it would be, I guess depends on how hard it is to find new employees.
Posted by baldona
Florida
Member since Feb 2016
20386 posts
Posted on 10/10/17 at 11:17 am to
quote:

Yep, I read OP as cost cutting.


Eh, not really. Tons of companies give bonus's for good safety records. Walmart and Sams does this, I can't remember their exact method. But I think its something like a percentage. Each employee gets like a 4 percent bonus a year for good safety, reducing other costs, labor, etc. Each quarter they analyze and give like a 1% bonus.

Incentivising is usually a much better method, but at the end of the day its really just semantics. You are still docking pay if there is an issue.
Posted by Mingo Was His NameO
Brooklyn
Member since Mar 2016
25455 posts
Posted on 10/10/17 at 1:38 pm to
quote:

Incentivising is usually a much better method, but at the end of the day its really just semantics. You are still docking pay if there is an issue.


No it's not. In one way you are earning extra. Key point is earning. Finig salary employees is punitive and takes away from what they were promised. They were promised a bonus, but they were promised their salary.
Posted by baldona
Florida
Member since Feb 2016
20386 posts
Posted on 10/10/17 at 1:57 pm to
quote:

o it's not. In one way you are earning extra. Key point is earning. Finig salary employees is punitive and takes away from what they were promised. They were promised a bonus, but they were promised their salary.


In both situations there's a maximum number they will pay you if you do everything right. If you don't, you get a cut. One is called a bonus and the other a fine, at the end of the day it's the same thing.

My only point is reducing someone's potential pay due to a safety issue is not abnormal.

A. I'll pay you $15 extra a month if there are no safety infractions.
B.if there's a safety infraction, we are reducing your pay by $15.

Both situations your max pay is $X+$15.
Posted by castorinho
13623 posts
Member since Nov 2010
82010 posts
Posted on 10/10/17 at 2:16 pm to
It's not the same thing.
Posted by notsince98
KC, MO
Member since Oct 2012
17952 posts
Posted on 10/10/17 at 3:42 pm to
It isn't wrong but I doubt it will have the impact they want unless they are purposely trying to downsize and don't want to make the tough decisions of where to cut.
Posted by Lightning
Texas
Member since May 2014
2297 posts
Posted on 10/18/17 at 4:54 pm to
quote:

A. I'll pay you $15 extra a month if there are no safety infractions. B.if there's a safety infraction, we are reducing your pay by $15. Both situations your max pay is $X+$15.


Algebra isn't your strong suit is it?

Situation A would be $X + $15
Situation B would be $X - $15

Salary is a promised payment amount and would not be legal to reduce it at a whim. This is definitely shady business practices of a company trying to cut corners.

Why are they only proposing this for salary employees? No mention of docking pay for hourly employees?
Posted by Martini
Near Athens
Member since Mar 2005
48829 posts
Posted on 10/18/17 at 5:20 pm to
quote:

Salary is a promised payment amount and would not be legal to reduce it at a whim. This is definitely shady business practices of a company trying to cut corners.


Unless you have an employment contract-which most people don't it is not illegal. Shady maybe but not illegal.

I wouldn't really think it "shady." I would think it's just not smart or not well thought it. Maybe they just have some salaried employees that aren't making good decisions and they just view this as a way for them to focus and improve performance. Liquidated damages. Strange maybe but the guy on the poli board says they pray and say the pledge of allegiance before their meetings so anything is possible.
Posted by Mingo Was His NameO
Brooklyn
Member since Mar 2016
25455 posts
Posted on 10/18/17 at 5:33 pm to
quote:

Maybe they just have some salaried employees that aren't making good decisions and they just view this as a way for them to focus and improve performance.


This will be done at the expense of the "good" employees. We can debate the semantics of the math all day, but the bottom line is it's going to be awful for morale for all employees. Psychology a fime is viewed as punishment and bonuses are viewed as earning extra.
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