Legal Question in Employment Law in Maryland

I work as a sales associate for a cellphone retailer. I receive 10 percent commission on the gross profit of every sale I make, and 8 dollars per hour. The owner of the retailer has been charging me money out of my paychecks whenever we do not receive commission on a sales contract due to someone not paying their bill, or if someone leaves the company in during contract. We signed a waiver when we were hired stating that we could lose the commission on any sale we make due to a contract default in the first 6 months of the contract. We did not sign anything stating he could charge us more than the commission we made on the sale, and he has been for some time. Is this legal? I also work many weeks over 40 hours and he has told me that he does not have to pay overtime if I make any commission. Is this true as well? Thanks!


Asked on 3/24/13, 8:59 pm

1 Answer from Attorneys
Cedulie Laumann Arden Law Firm, LLC

Overtime is required for anyone in a non-exempt position. If you are not an exempt employee then the employer must pay overtime. In some situations it is very clear that an employee is not exempt, in others it takes a very careful look at the law and facts to figure out if overtime is due.

Deductions from paychecks are extremely limited and an employer can get in trouble if they deduct something the law does not allow.

While I hope this general legal information helps, it does not create any attorney/client relationship or offer specific legal advice. I encourage you to seek legal advice -- My firm handles wage/hour litigation and you are welcome to call for a no cost phone consult or contact another attorney of your choosing.

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Answered on 5/14/13, 7:04 am


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