What are my rights as a salaried employee in Virginia?

November 4th 2024

Understanding your rights as a salaried employee is not just a matter of learning labor laws; it’s about equipping yourself with the knowledge you need to navigate your career path confidently. 

The compensation you receive for reporting to work diligently each day defines your role and position in the workplace. However, the nuances of agreements between employers and employees can vary fundamentally from one U.S. state to another.

This article is here to offer guidance on your rights in the workplace and address any questions that have piqued your curiosity. We will delve into the intricacies of your rights, guiding you toward a more informed and empowered work experience tailored to the specific regulations of Virginia.

This Article Covers

Defining a Salaried Employee in Virginia
Common Questions About Salaried Employee Rights in Virginia
Understanding Exempt vs. Non-Exempt Status in Virginia
Wage and Hour Regulations in Virginia
Deductions, Benefits, and Protections in Virginia
Taking Action Against Violations in Virginia
Case Studies and Real-Life Scenarios of Salaried Employee Rights Violations in Virginia

Defining a Salaried Employee in Virginia

What is Salaried Employment in Virginia?

A salaried employee in Virginia is any individual who receives a predetermined amount of compensation at the end of every pay period regardless of the number of hours worked, quality, or quantity of their work. In Virginia, employers are required to pay their salaried employees at least once a month. The acceptable modes of salary payment include checks that are payable at face value, automated electronic transfers, direct deposits to card accounts, and prepaid debit cards. 

Virginia adopts the federal definition and classifications of salaried employees as outlined by the Federal Labor Standards Act (FLSA). Therefore, salaried employees in the state are classified into exempt and non-exempt based on their eligibility for overtime and whether they are subject to some state wage and hour laws.

What are the Key Differences Between Salaried and Hourly Employees in Virginia?

Aspect Salaried Employees Hourly Employees
Compensation Structure Receive a fixed salary every payday regardless of hours worked and quality of work. Paid on an hourly basis. Wages paid at least twice a month. 
Overtime Pay Ineligible for overtime pay if classified as exempt. Eligible for overtime pay for all time worked above 40 hours in a workweek as per the Virginia Overtime Wage Act.
Minimum Wage Not subject to federal or state minimum wage laws. Minimum salary is determined by the FLSA. Subject to state and federal minimum wage laws and entitled to at least the minimum wage of $12 per hour. 
Pay Frequency and Income Stability Typically receive consistent pay at least once a month. Paid at least twice in a month, and income varies based on the number of hours worked.
Job Stability Typically have more job stability due to legal protections by the FLSA and FMLA and limited vulnerability to fluctuations in work hours. Generally have less job stability and may experience fluctuations in work hours. 
Job Roles Typically perform executive, professional, administrative, and select sales roles.  Roles may vary from highly skilled to routine and unskilled roles such as clerical and retail work. 

Common Questions About Salaried Employee Rights in Virginia

What are the Basic Rights of Salaried Employees in Virginia?

Virginia state laws extend the following entitlements to salaried employees in the state: 

  1. Minimum Wage: Non-exempt salaried employees in Virginia are entitled to a minimum compensation higher than the federal minimum wage or state minimum wage. Exempt employees in the state are entitled to the federal minimum salary threshold of $844 per week or $43,888 annually.
  2. Overtime Pay: Eligible salaried employees are entitled to overtime pay at a rate of one-and-a-half times their regular wage for time worked above 40 hours per week.
  3. Equal Pay: Article 1 of the Code of Virginia protects salaried employees from discrimination based on gender and other protected characteristics. All employees have the right to receive equal pay for equal work for work performed under the same working conditions and requiring the same level of skill, effort, and responsibility. Employers in the state can only base differences in salaries on seniority, merit, or systems that compute output based on quality and quantity.
  4. Safety in the Workplace: Salaried employees in Virginia have the right to a safe and healthy work environment free of hazards that could cause harm to employees. Employers who fail to comply with Occupational Safety and Health Administration (OSHA) regulations risk penalties of up to $13,047 for each violation. 
  5. Family and Medical Leave: Eligible salaried employees can take up to 12 weeks of unpaid leave under the Family and Medical Leave Act (FMLA) for certain family or medical reasons without losing their jobs. 
  6. Discrimination and Harassment Protection: Virginia labor laws protect salaried employees from discrimination and harassment through intimidation, hostile work environments, and unreasonable interference of their work based on any of the following characteristics:
      • Race
      • Color
      • Religion
      • Gender
      • Sexual orientation, gender identity or expression
      • National origin
      • Age
      • Disability
      • Genetic information
      • Military status 
      • Pregnancy 

It’s important to remember that employment laws and regulations can change over time. Therefore, it’s essential to consult the most up-to-date resources such as the Virginia State Law Portal or seek legal counsel for the most current information on the rights of salaried employees in Virginia.

Is Overtime Pay Applicable to Salaried Employees in Virginia?

Yes. It is worth noting that compensation on a salary basis does not exclude an employee from being eligible for overtime pay. While some salaried employees are exempt from overtime laws, others are non-exempt and accrue overtime for all time worked in excess of 40 hours a week. These employees earn overtime pay at a rate of 1.5 times their regular wage as per Virginia overtime laws. Eligible law enforcement officers and firefighters can opt for compensatory time in lieu of overtime pay.

Can Employers Deduct Wages from Salaried Employees in Virginia?

Yes. Article 2 of the Code of Virginia identifies three instances in which employers are allowed to deduct a salaried employee’s wages. First, employers are allowed to deduct payroll, wage, and withholding taxes. Second, all deductions made in accordance with the law, such as court-ordered deductions, are permissible. Third, an employee can write to their employer authorizing deductions from their salary. 

Any employer who makes any other deductions from their employees’ salaries is guilty of a Class 1 demeanor if the unlawful deductions are less than $10,000 and a Class 6 felony if the deductions are higher or the employer has been convicted of a similar offense in the past.

Are Salaried Employees Eligible for Breaks and Leaves in Virginia?

No. Virginia break laws do not guarantee rest or meal breaks for employees in the state. Such arrangements are left to the discretion of the employer. However, employees under 16 years are entitled to 30-minute rest breaks for every 5 hours of work. 

Although salaried employees in the state are not eligible for rest and meal breaks, they are entitled to paid sick leave, which accrues starting from the first day of employment as per Virginia leave laws. The employees accrue one hour of paid sick leave for every 30 hours of work for up to 40 hours in a year.

Can Salaried Employees Request Flexible Work Arrangements in Virginia?

According to the FLSA, any alternative to the standard 9-5, 40-hour week constitutes a flexible work schedule. Virginia state laws do not address flexible work schedules, but they do not prohibit them either. In fact, state agencies are encouraged to adopt alternative work arrangements.

Understanding Exempt vs. Non-Exempt Status in Virginia

What is the Definition of Exempt Status in Virginia?

In Virginia, exempt status refers to ineligibility for overtime. Exempt employees in the state are not entitled to any overtime pay or compensatory time for exceeding the standard 40 hours in a workweek. Typically, exempt employees fall under distinct categories of employees based on their job duties, basis of compensation, and a minimum salary threshold of $844 per workweek.

What are the Implications of Exempt Status in Virginia?

Exempt salaried status in Virginia has several implications for both employers and employees, including the following:

  • Overtime Exemption: Exempt salaried employees in the state are not eligible for overtime pay for working more than 40 in a workweek. To employers, this leads to cost savings on wages and salaries since they do not incur additional costs for overtime by paying a premium rate for overtime hours.
  • Fixed Predetermined Salary: Exempt employees receive a fixed amount as compensation every pay period, regardless of the number of hours worked. On one hand, this provides them with income stability, but on the other hand, they do not receive additional compensation for putting in extra work. 
  • Job Duties: Salaried employees in the state must meet certain job duty requirements as defined by the Fair Labor Standards Act (FLSA) to qualify for exempt status.
  • Minimum Salary Threshold: Virginia state laws require employers to adhere to federal guidelines when determining the minimum salary threshold for exempt employees. The current threshold is $844  per week. 
  • Flexibility: Exempt employees often have greater flexibility in managing their work schedules and tasks. Upon agreement with their employers, exempt employees may be allowed to adopt flexible work arrangements that allow them to optimize their work-life balance.

What are the Differences Between Exempt and Non-Exempt Salaried Employees in Virginia?

Criteria Exempt Employees Non-Exempt Employees
Salary Basis Typically receive a fixed salary every payday regardless of hours worked or quality of work.  Typically paid on an hourly or salaried basis. 
Minimum Salary Must earn the prevailing federal minimum salary threshold or more. The current minimum salary threshold for exempt employees is $844 per workweek.  Not subject to minimum salary requirements but must be paid at least the minimum wage of $12 per hour. 
Job Duties Must perform specific job duties as outlined by the FLSA. Typical job categories include executive, administrative, or professional jobs. Not limited to specific job duty requirements but must perform non-exempt work.
Overtime Pay Exempt from federal and state overtime laws and not eligible for overtime pay. Eligible for overtime pay at a rate of not less than 1.5 times their regular rate for time worked beyond 40 hours in a workweek.
Recordkeeping Employers are generally not required to track or keep detailed records of hours worked. Employers must maintain accurate records of regular hours worked, overtime hours worked, and the rates of pay offered for each. 

Please note that this table provides a general overview of the differences between exempt and non-exempt employees in Virginia. It’s essential to seek legal counsel or consult HR professionals for more detailed and accurate advice based on your specific circumstances.

How to Determine if You’re Exempt or Non-Exempt in Virginia?

To qualify as an exempt employee in Virginia, an individual must meet specific criteria set by the FLSA related to their job duties and salary. The following tests use this criterion to determine the status of salaried employees in Virginia:

  • Salary Basis Test: To qualify as exempt, an employee’s compensation must be a predetermined and fixed amount that is not affected by variations in the quality or quantity of their work.
  • Salary Level Test: An employee’s salary must meet or exceed the minimum salary threshold set by FLSA. The current federal minimum salary threshold is $844 per week ($43,888 annually). 
  • Duties Test: Salaried employees only qualify for exempt status if they fall under the following categories and perform the corresponding primary duties. 
      • Executive Employees: Salaried employees in executive roles are considered exempt if they meet the salary level and basis tests and manage an organization or one of its recognized departments or subdivisions, supervise at least two full-time employees, and have the authority to hire or fire employees.
      • Administrative Employees: Salaried administrative employees qualify for exempt status if they are required to exercise independent judgment in material issues related to the business and their primary duties involve non-manual work that is directly related to the management or general business operations of their employer.
      • Professional Employees: Salaried professionals whose work requires advanced knowledge in a field of science or learning that is typically acquired through education or training qualify as exempt if they pass the salary basis and level tests.
      • Computer Professional: Salaried employees who engage in computer-related jobs such as software development or systems analysis are considered exempt if they pass the salary basis and salary level tests. Please note that this exemption does not apply to employees who manufacture and repair computers. 
      • Outside Sales Employees: Salaried sales employees meet the criteria for exempt status if they are regularly engaged in sales generation away from their employers’ place of work and their primary duties involve generating orders. 

Please note that labor laws are dynamic. Therefore, it’s essential to consult the most up-to-date federal and state regulations and seek legal counsel when determining your exempt status.

Wage and Hour Regulations in Virginia

What are the Minimum Wage Requirements for Salaried Employees in Virginia?

Non-exempt salaried employees are bound by the state’s minimum wage laws. Therefore, they are entitled to a minimum compensation of $12 per hour. Exempt employees are not entitled to overtime pay regardless of hours worked. However, they are entitled to the federal minimum salary threshold of $844 per week.

How is Overtime Compensated for Salaried Employees in Virginia?

Salaried employees who are eligible for overtime accrue overtime pay at a rate of 1.5 times their regular rate for all time worked beyond 40 hours in a workweek. Some state officials accrue compensatory time in lieu of overtime pay for working public holidays. Eligible employees who work legal holidays accrue paid compensatory time of the same number of hours worked during the holiday. Comp time should be taken in the same year it is accrued.

Deductions, Benefits, and Protections in Virginia

What are the Permissible Deductions from Salaried Employee Pay in Virginia?

Employers in Virginia are allowed to make the following deductions from the salaries of their employees:

  1. Legally Mandated Deductions: All deductions required by law are permissible. These include court-ordered wage garnishments for child support, alimony, payments to creditors, and federal, state, and local taxes. State income tax in Virginia ranges from 2% to 5.75% based on an employee’s salary.
  2. Voluntary Deductions: Salaried employees in Virginia can authorize deductions such as contributions to health plans, retirement funds, and savings plans. Further, as a right-to-work state, Virginia laws allow employers to deduct union dues from their employees’ salaries. However, employers cannot require employees to pay union dues as a condition of employment. 

All other deductions are prohibited unless employees authorize them explicitly. Employers who make unlawful or unauthorized deductions are guilty of a Class 1 misdemeanor or Class 6 felony based on the amount deducted and prior reported incidents of making unauthorized deductions.

What are the Provided Employee Benefits and Protections Under Virginia State Law?

Virginia State law provides the following employee protections and benefits to ensure fair treatment in the workplace.

  • Minimum Compensation Laws: Virginia law establishes the minimum wage rate of $12 for non-exempt employees and guarantees exempt employees a minimum salary of $844 per week. 
  • Overtime Compensation: Non-exempt salaried employees who work more than 40 hours in a workweek are entitled to overtime pay at a rate of 1.5 times their regular wage.
  • Anti-Discrimination Laws: Virginia laws prohibit discrimination in the workplace on the basis of various protected characteristics, including race, color, religion, national origin, sex, age, disability, and other protected characteristics.
  • Family and Medical Leave: Eligible salaried employees are entitled to up to 12 weeks of unpaid leave as per the FMLA in addition to paid sick leave, which accrues at the rate of one hour of paid sick leave for every 30 hours of work for up to 40 hours in a year. 
  • Workers’ Compensation: Employees who suffer work-related injuries or illnesses are entitled to workers’ compensation benefits as per the Virginia Workers’ Compensation Act.  
  • Whistleblower Protection: Virginia laws protect employees from retaliation for reporting violations of the law or engaging in protected activities such as reporting workplace safety concerns or labor law violations.

Taking Action Against Violations in Virginia

How to Report Violations to Authorities or the Labor Department in Virginia?

Protecting your rights as an employee is important. Should you suspect or confirm any infringement upon your rights, it is imperative to act promptly by reporting the violation to the relevant authorities. 

You can report minimum wage violations to the Virginia Department of Labor and Industry or claim unpaid wages by filling out this claim form. For employee misclassification or retaliation for reporting labor violations, you can submit your claim to the Virginia Department of Labor and Industry Labor & Employment Law Division by filling out this form.

Case Studies and Real-Life Scenarios of Salaried Employee Rights Violations in Virginia

Overtime Violation: Virginia Restaurant Settles Improper Records and Straight-Time Pay Lawsuit for $3 Million

In 2017, a federal judge accepted a $3 million settlement in Thomas Perez, Secretary of Labor, United States Department of Labor v. El Rodeo-Electric Inc., El Rodeo-Orange Inc., Bravo Brandon Inc., Arellano Inc., El Toreo-Thirlane Inc. El Rodeo-Wildwood Inc. 

The United States Department of Labor had brought a lawsuit against the defendants on behalf of some of their employees who claimed that they had been denied overtime pay for overtime hours worked between January 2012 to January 2015. Further, the United States Department of Labor found that the defendants failed to keep records of the workers’ hours. The workers, who included cooks, dishwashers, and other kitchen staff had received the same pay per hour for all hours worked, including time worked beyond 40 hours in a workweek. The settlement included backpay for the 149 workers, including interest and damages. 

Lessons learned from the case:

  • The case underscores the importance of tracking hours worked by non-exempt employees and keeping accurate records of regular and overtime hours worked against the rate of compensation for each.
  • The settlement is a reminder to employers in Virginia to adhere to the Virginia Overtime Wage Act.
  • The involvement of the United States Department of Labor demonstrates the effectiveness of the institutions that are designated to help employees recover lost wages and get justice for labor law violations. 

Disability Discrimination and Retaliation: Virginia-based Scientific Research and Development Company Pays Former Employee $42,000 in Retaliation Suit for Violating the Americans with Disabilities Act

In June 2023, a U.S. District Court ordered NSN LLC to pay $42,000 in EEOC v. NNC, LLC. The U.S. Equal Employment Opportunity Commission (EEOC) brought a lawsuit against the company on behalf of an employee who worked as a part-time tester in one of its testing centers in North Carolina.

The employee, who is a person with a disability, had worked for the company for three years. The company provided accommodations for her until a new supervisor rescinded the accommodations. When she raised the issue, her hours were reduced and she was fired a year later.

The EEOC sued NSN LLC on the employee’s behalf, seeking monetary compensation for the company’s failure to provide necessary accommodations for the employee and retaliating when she raised her concerns. The defendant settled the case for $42,000 and pledged to adhere to the provisions of the Americans with Disabilities Act, train managers on providing accommodations for employees with disabilities, and create a safe avenue for employees to communicate the accommodations they require.

Lessons learned from the case:

  • The case is a reminder to employers to make all necessary accommodations for employees with disabilities.
  • The involvement of the EEOC reminds employees of the importance of understanding their rights, learning how to report labor violations and knowing how to reach the organizations that are responsible for specific violations.
  • The settlement highlights the significant cost of failing to understand and comply with labor laws.

Final Thoughts

It’s essential to learn and understand your legal entitlements and safeguards as a salaried employee in Virginia. Comprehending your rights can help you protect yourself against potential violations while allowing you to advocate for your own well-being in the workplace. 

Therefore, it is important to remain well-informed about changes in state and federal labor legislation. Due to the complexity and dynamic nature of employment regulations, seeking professional advice by consulting an employment attorney can offer invaluable advice and direction. You can also reach out to The U.S. Department of Labor or contact the Virginia Department of Labor and Industry for the most current information on your rights and entitlements. 

Important Cautionary Note

This content is provided for informational purposes only. While we make every effort to ensure the accuracy of the information presented, we cannot guarantee that it is free of errors or omissions. Users are advised to independently verify any critical information and should not solely rely on the content provided.