Legal Question in Employment Law in California
Commission
I am currently employed as a sales rep. for a commercial printer. My employer has not offered a contract specifying the terms of our commission pay, and changes their practice frequently and with little or no notice. My question is this: Are there laws, rules, or regulations, that specifically govern the payment of commissioned sales reps, and where can I find them? Additionally, I have questions about whether my employer can deduct a percentage of the cost when a job is rejected or invoiced not paid, and under what circumstances an account given or cultivated by a sales rep. can be re-assigned?
1 Answer from Attorneys
Re: Commission
The terms of commissions can vary. There are no set rules that apply, as long as the employer makes sure that you receive no less than minimum wage and all other wage and hour laws are met. Every employer has the right to set their own terms and conditions to receive commissions. However, they cannot change them retroactively.
The problem arises when there is no written contract to confirm what the terms are and the employer changes the terms frequently to suit its needs. Some employers do this to confuse the salespeople, so they don't know if they are being paid properly. This is not a good company to work for.
It would take hours to discuss all the different variables trying to address whether you have earned your full commission. If you believe you are being cheated, you should schedule an appointment with a labor law attorney in your area and have him or her review all your documents to determine if you are being paid correctly, and if not, what your best course of action should be.