Legal Question in Employment Law in South Dakota

Withheld Commissions after I quit
Is it legal to not pay me a previously earned commission because I no longer work for my former employer?

I Work for a large bank and the majority of my income is commission based. Upon resigation all future payout of commission that has already been earned over the last 6 months will not be remitted to me. Had I stayed with the bank and moved to a position where commission is not earned they will continue to pay the previously earned commissions. The commission is said to be paid out based on current performence in that department, using a ranking system called a scorecard. It has been explained to me that the scorecard starts at zero and one must earn at least 50 points out of 100 to qualify for your commission payouts. When an employee moves to a different department within the bank there is no scorecard points and yet the commission is still paid. Yet if you leave the bank there are no scorecard point and the commission is NOT paid.

Basically I wish to know if this practice is within the law? Can the bank withhold commission payout based on current performence when there is NO current performence recorded (no scorecard)for certain reasons (resignation) and not others (moving to a different department)?

Asked on 9/03/05, 2:29 am

David Anderson Anderson Business Law LLC

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Re: Withheld Commissions after I quit

Is there a contract which sets out the conditions for payment of commissions?

How much is at stake?

I would need to review the contract to answer your question.

Answered on 9/03/05, 7:43 am

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