Figuring out how to pay your employees during COVID-19 may seem confusing and stressful, but it doesn’t have to be. What happens when you lay off employees, but they still attend virtual team meetings, or you need someone to do a few hours of admin work here and there? These are the types of questions that Bryant Consultants is going to answer for you today. However, we recommend that you speak with our dental practice consultant directly for answers regarding questions that are specific to you and your practice.
I have to lay off my employees, do I still have to pay them if they work?
Yes, you absolutely have to pay employees for work that they do. However, there are some caveats. For instance, you first need to determine if the employee is exempt or non-exempt. If they are exempt, then they will need to be converted to a non-exempt employee for hourly wage purposes. Then, it is up to your own discretion as to how much you will pay your employees per hour if they no longer are working in the same capacity, so long as you meet your state’s minimum wage requirements. For instance, a dental assistant is paid for performing tasks that are essential to the function of her job (this is why detailed job descriptions are a must). However, if your dental assistant is now only working by attending virtual training or meetings, you may choose to pay them at a different rate.
How does different capacity pay rate work?
This could look different for each practice. But, the idea is that you do not necessarily have to pay employees their regular hourly rate if they aren’t actually doing what they were hired to do. Does that mean that if a dental assistant steps in to answer a quick patient call has to be paid a lesser amount of pay? No, that’s not a different capacity pay rate, it’s teamwork. But, employees are no longer performing their outlined job functions, you can legally pay them a different amount. This might mean that they get paid less for attending virtual meetings, training, or spending time working on social media for the practice.
Should I set a blanket rate for different capacity wages?
This is entirely up to you, but we don’t recommend it. That’s because a blanket pay rate for training or other different capacity duties may result in a substantial pay decrease for your hygienists while equating to a pay increase for your assistants. If your doors are still open, yet your schedule is empty, you might consider paying your employees a different pay rate for remaining in the office to stock supplies, organize, clean, and train throughout the day. Typically, dentists find that paying a percentage of each employee’s regular pay comes out fair. This is one way to improve cash flow during this difficult time. Whether or not you want to continue different capacity pay rates after this is up to you.
If you aren’t sure how to get your practice through the coronavirus pandemic, Bryant Consultants can help. We also have developed a coronavirus dental practice survival kit, which is available as a free download. If you would like more information, please call Bryant Consultants at (877) 768-4799 or connect with us directly. We provide consultation, training, and coaching and will continue to post relevant updates regarding the coronavirus pandemic. To ensure that you receive the latest updates, please follow us on Facebook and Instagram. Be sure to check back on our blog tomorrow where we will discuss the Paycheck Protection Program.