Legal Question in Employment Law in California
Legality of Employee Handbooks
My employee handbook states that the employer may choose to withhold comission money owed to an employee if the money is distributed after they are no longer employed with the company. I signed a contract saying that I agree to the terms in the handbook however the handbook did not state that there is no set time in which they agree to pay the comission money. I heard that unless it was directly referred to in the contract, that they may or may not pay the comission, then the handbook holds no legal value. Is this the case?
2 Answers from Attorneys
Re: Legality of Employee Handbooks
Commission payments after termination has been addressed by the labor commissioner and the courts. In short, if you have completed everything that is necessary to earn the commission, and all that remains is to get paid from the customer, the employer will have little basis to refuse the payment of commissions. However, if after you leave, somebody else is required to complete the project and that person is paid all or part of the commission, the employer may be able to refuse payment to the terminated employee. Further information regarding your type of work and the commission deal would allow a more complete analysis. Feel free to contact me if you would like a further analysis.
Re: Legality of Employee Handbooks
You should seek one on one meeting with potential lawyer to discuss. May or may not be entitled to receive bonus/commissions after leaving, but need much more info.
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