Not Enough Golf - flextime policy led to a ruinous fight with federal regulators
reason.com
reason.com
edit:
http://en.wikipedia.org/wiki/William_G._Pierce
Claims the company has still has 50 employees, but I can't find a website, so maybe that info is 12 years out of date. Is that likely?
Also says he tried to run for Senate in 2006 but lost the Republican primary.
If you hire someone on a salary, you don't dock them by the hour for they're not hourly workers (I believe that by the full day is OK). Nor do you pay them overtime by the hour, especially straight time (e.g. no time and a half where mandated).
By the same token, the only time keeping records he really needed to keep were ones where employees recorded how much time they spent on each particular client, so that he could bill them honestly.
Anyway, the bottom line is do or do not, your employees are salaried or hourly, don't try to blend the two.