Question:
Can we change our hourly employees to salaried? If so, what is the minimum pay for salaried employees in California?

Answer:
An employer may pay employees who were previously paid an hourly wage a fixed salary and retain the nonexempt classification, but should be aware of laws surrounding overtime and meal/break requirements ensuring they are not in violation of the Fair Labor Standards Act (FLSA). It is possible to pay nonexempt (hourly) employees on a salary basis and some employers choose to do so for ease of payroll administration. However, this does not release the employer from an obligation to pay one and one-half times the equivalent hourly wage for any hours over eight in one workday (in California) or over 40 hours in one workweek. Even if you pay nonexempt employees a salary you must still pay them overtime for any qualifying hours.

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Sources:

http://thinkhrcomply.com/ClassificationTools/OvertimeEligible

http://www.dol.gov/elaws/overtime.htm

https://www.dir.ca.gov/iwc/wageorderindustries.htm