Hello - I am assisting an employer (general building contractor) with their payroll, etc. In review of their employment contract(s), I am questioning the wording in one particular area in regards to hours work and an exempt salaried position. I would appreciate any input, as to ideas/suggestions/legality of the following (taken directly from their employment contract agreement. Thank you, in advance :)
. Position Title. As an Estimator/Project Manager ("Position"), the Employee is required to perform all of their necessary job functions and duties, and all other duties that may be assigned to Employee from time to time by Employer. This is a ___ Part-Time X Full-Time position with the expectation that the Employee will devote 40 hours per week to the Position. It is understood weekly hours may fluctuate, due to work load.
It is understood weekly hours will be tracked and evaluated on a quarterly basis to ensure the fairness to both the employee as well as the employer. Keeping the hours fluctuation in mind, there should be no less than a minimum of 35 hours a week and no more than a maximum of 45 hours a week to the swing. In December each year, should the fluctuation be consistent in one direction or the other, employee and/or employer reserve the right to choose position to be on a salary or an hourly basis for following calendar year, as mutually agreed to by both parties.
It is agreed to, that should employee hours fall below 35 hours a week, employee will use vacation time to reach the required minimum of 35 hours a week, OR employee will take zero pay for hours below 35 hours that week.
III. Compensation. As full compensation for all services provided, the Employee shall be paid at the rate of $ 57,200.00 per ☐ Hour X Annually and will be subject to review of their work on a periodic basis. Such payments shall be subject to standard mandatory deductions by the Employer (i.e., Federal & State Taxes, Social Security, Medicare) and shall be made on a X Weekly ☐ Bi-Weekly ☐ Monthly ☐ Quarterly ☐ Annual basis.
It is understood, compensation will be paid as an Exempt Salaried employee (Office/Administration workers) position, and per Fair Labor Standards Act (FLSA), will not be paid overtime for over (40) hours each week.
------------------------------
Maureen Weick
Bottomline Bookkeeping
Dorr MI
(616) 340-3937
------------------------------