Employees May Be Required to Use Personal Credit Cards
Q: I work for a company as a consultant. I travel to client sites at the direction of the company and pay for most travel expenses with a company credit card. We submit a weekly travel expense report and are reimbursed for any cash outlays.
It is my understanding that the company is planning to do away with the company credit card and require all consultants to use a personal credit card. We will have to submit the expense report to be reimbursed for all travel expenses, not just cash outlays.
This could have a major impact on my credit history, as well as the possibility of incurring interest expense. Does the company have the right to make me use my own credit card for business travel?
--R.L., Fountain Valley
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A Yes, it does. The law requires only that employers reimburse employees for any amounts they expend in performing their duties. It does not require employers to provide company credit cards or to advance expenses. Many employers, in fact, require employees to use their own money for expenses and secure reimbursement later.
--Michael A. Hood
Employment law attorney
Paul, Hastings, Janofsky & Walker
Laid-Off Employee Deserves Compensation
Q: I recently had two job offers. I turned down an $8,000-a-month job in Virginia to stay and work in California. My new employer knew this. He offered me a job for $4,000 a month plus commissions.
I would be working from home and considered an independent contractor. He would pay me on retainer. I started writing up the marketing plans, attended a few company meetings and went to a business event representing my new employer. A few days later, I was told I would not be needed because of lack of company funds.
What can I do? Doesn’t he owe me at least the $4,000 retainer?
--S.C., Manhattan Beach
A: I am not sure what you mean by “retainer.” The employer, however, does at least owe you compensation for any work performed, and perhaps at least one month’s salary. California law requires that employees who are exempt from overtime laws receive a monthly salary of at least twice minimum wage. According to the labor commissioner, an exempt employee who performs work during any part of a month must receive a whole month’s salary, with certain exceptions.
In addition, if the employer misrepresented to you the security of your position, or his intentions as to how long your position would last, you may have a claim for fraud.
--Michael A. Hood
Employment law attorney
Paul, Hastings, Janofsky & Walker
Take Steps to Defuse a Hostile Situation
Q: Someone I supervise is in a stressful situation because of the sometimes outright hostile behavior of another supervisor.
It is my responsibility to supervise her, but she also is under the supervision of this other manager, who has an unpredictable temper.
It is affecting the worker’s morale and I have asked her to continue to do the best job that she can, while documenting when the other supervisor behaves poorly.
Is there anything else I can do to protect her?
--S.G., Santa Monica
A: There are two things that you should do. Bring the situation to the attention of your director of human resources or the equivalent, and encourage the subordinate to discuss the situation with human resources as well.
You also can try talking to the other supervisor to inform him or her of the situation. However, it is important to be tactful when dealing with this supervisor because of the potential for retaliation against the employee or against you.
--Ron Riggio, director
Kravis Leadership Institute
Claremont McKenna College
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If you have a question about an on-the-job situation, please mail it to Shop Talk, Los Angeles Times, P.O. Box 2008, Costa Mesa, CA 92626; dictate it to (714) 966-7873, or e-mail it to shoptalk@latimes.com. Include your initials and hometown. The Shop Talk column is designed to answer questions of general interest. It should not be construed as legal advice.
