Yes; an employer can reduce an employee's rate of pay provided the reduction does not bring an employee's wage below the applicable federal or state minimum wage. Also, an employer must notify the affected employee prior to his being allowed or required to perform work at the reduced rate; the employee has the right to accept the lower rate or quit.
The minimum wage rate under both the federal Fair Labor Standards Act ("F.L.S.A.") and state minimum wage law is $5.85 per hour. There are exceptions for certain categories of employees; the exceptions are not the same under federal and state law. Most employers are covered by the F.L.S.A.; very small employers who do not meet the annual revenue or interstate commerce requirements are covered by the state law. Virginia Code § 40.1-28-10.
Can tips, meals and lodging be credited toward the state's minimum wage?
If meals and lodging are customarily furnished by the employer, and the employee elects to accept them, the reasonable value of these two items can be credited toward the minimum wage under both federal and state laws. Under federal law, which applies to most employers, tips may also be credited toward the minimum wage, except that the employee must be paid $2.13 an hour regardless of any tips received. Under state law, which applies only to a few very small employers, tips may be credited toward 100 percent of the minimum wage rate; the employer is not required to pay $2.13 an hour.
FOR MORE DETAILS YOU MUST CONTACT : Labor and Employment Law Division.