Legal Question in Employment Law in California
Hi. I'm a commissioned sales person who, at a previous company, was under a 90 day guaranteed pay plan. It guaranteed me 90% of my total compensation plan for that time period. Yet, I sold enough, to where I was actually at 125% of my quota. My understanding was that I would receive that commissioned amount, which was greater than my 90% guarantee. Yet my employer told me that I was not able to receive the pay above the guarantee because I chose to go with a guaranteed pay plan for the first 90 days. I actually wasn't even given the choice, they just stuck me under that plan. Anyway, I thought a guarantee protected you if you did not sell much for that guaranteed period, but still legally required the employer to pay you above the guarantee if you in fact sold enough to go above that guaranteed plan amount. Is this not the case?
1 Answer from Attorneys
It depends entirely on the terms of the plan. As long as you make minimum wage, or double minimum wage and are qualified to be exempt, that is all the law requires. Everything else is by agreement and company policy.
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