The FLSA pay-docking rules are fairly unclear. Usually, they don’t permit deductions from an overtime exempt employee's salary. The regulations state that the amount of money an overtime exempt employee earns cannot be dependent on the number of days or hours they’ve worked. Also, you cannot deduct money based on the quality or quantity of work produced. However, there are a few ways to legally dock pay if you have written policies in place BEFORE the pay-docking situation occurs.
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