Texas88
09-21-2006, 06:38 AM
I Work for base plus commissions, to be paid 90 days after deal is complete. This employer has a long history of NOT paying employees after they resign which I didn't find out until I was working there. What documentation do I need to get and steps should I take to collect the commissions owed, but not yet paid at the time of my resignation?
Thanks!
ScottB
09-21-2006, 08:12 AM
It depends upon how your employer has defined when commissions are earned. Hopefully, you have that in writing.
It is quite possible that the employer has stipulated that commissions are not earned if a person is no longer employed by the company when payment is received (or whatever other sort of qualifications the employer uses). In such a case, you would be out of luck.
Happened to me and the DOL supported the employer.
Texas88
09-21-2006, 08:44 AM
There is nothing in writing, either in my offer letter or a company stated policy, that states how or if the commissions are to be paid AFTER employee is no longer employed. My offer letter states "every 'successful' placement made by the corporation, resulting from your efforts to source the candidate. A 'successful' placement is defined as staying past the 90-day guarantee period." Does this mean I need to wait until the first commission is NOT paid to file a complaint with the TWC? and a subsequent one each time the commissions aren't paid ontime?
(Of course, he will state I don't get the commission b/c I was not employed at the time the commissions came due -- 90 days after completed deal. However, that is NOT in writing anywhere. In fact, another employee gets paid only 30 days after the completed deal.)
I am still currently employed for now. Is there ANYTHING I can do or get in writing that would ensure I receive commissions after my resignation.
Texas709
09-21-2006, 01:28 PM
The Texas Administrative Code, in Sec. 821.26, deals with the payment of commissions, as they apply to the Texas Payday Law, Sec. 61.015. It says:
"Commissions are to be paid, in a timely manner, according to the terms specified in an agreement between the employer and an employee."
It also says that "unless otherwise agreed, the employer shall pay after separation commissions earned as of the time of separation".
Further, "commissions due after separation from employment are payable based on the routine or practice specified in the agreement when the employee was employed, or on any special agreement made ...upon separation."
See here:http://www.twc.state.tx.us/customers/rpm/rpmsub1.html. Look for the Texas Payday Law (Sec. 61)and the Texas Payday Rules (Sec. 821)
It may behoove you to come to an agreement before separation, and to have it in writing.
Texas88
09-21-2006, 02:57 PM
Thank you, thank you, thank you :D