Legal Question in Employment Law in New Jersey

Commission reduction
I work for a leading funiture company and get paid by commission only. I recently have acquired a big sale for $140,000, which my commission should be 7% ($9,800) however the customer is adamant about receiving a discount. My employer is allowing a discount of 5% of the total purchase($7,000)for such a large order plus there is another substantial order to follow soon after if all goes well. BUT my employer wants to cut my commission to 3% ($4,200) even though I have a signed commission contract. Should I have to be penialized for the discount and have to bear most of the burden of the discount? I will lose $5,600 that I worked very hard on. Is this even legal? What are my rights? I know of two other employees that had customers rcv discounts inthe past for far less substatial orders and they had rcvd their full commissions w/out any reduction in their commission rates. HELP!!!

Asked on 5/13/09, 5:23 pm

Daniel Cevallos Cevallos & Wong, LLP

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Re: Commission reduction

This sounds like you might have a wage and hour claim under the FLSA or state law. Give our offices a call, and we will discuss your recovery.

Answered on 5/13/09, 5:56 pm

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