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  • Fired, commissions not paid

    I was fired from my job, and the commissions owed to me were not paid. I was told that, since I was fired I wasn't going to get them for the month of July & August. Do I have any recourse?

  • #2
    Originally posted by Jobless
    I was fired from my job, and the commissions owed to me were not paid. I was told that, since I was fired I wasn't going to get them for the month of July & August. Do I have any recourse?
    Go to your states Department of Labor, they can not withhold your wages (or commission), just because you were fired, you earned that before you were fired. Do you have anything that proves you had commission coming. It is easy to prove hourly wages, but it may be harder to prove commission owed, they may just say you didn't earn any during that time. This is only my opinion, someone who knows alot more about commission jobs, will come around with better information.

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    • #3
      Generally speaking commissions are a matter of company policy. It's quite common that documentation exists explaining the commissions process (including commissions paid upon termination).

      http://www.dol.state.ne.us/legallaws...tion%20Act.pdf

      According to Nebraska labor code the term "wages" is defined as compensation for labor or services rendered by an employee, including fringe benefits, when previously agreed to and conditions stipulated have been met by the employee, whether the amount is determined on a time, task, fee, commission, or other basis. Wages includes commissions on all orders delivered and all orders on file with the employer at the time of termination of employment less any orders returned or canceled at the time suit is filed.

      It's not uncommon for final commissions to be delayed. But I agree that the commissions should not be delayed longer than the normal timeframe for payment.

      What's the company's standard practice for commissions payments?

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      • #4
        Employees are not allowed to have access to the commission info........ie, a printout, which they have access to.....Policy on commissions not written, as far as I know. Rules are made up as they went along.

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        • #5
          Originally posted by Jobless
          Employees are not allowed to have access to the commission info........ie, a printout, which they have access to.....Policy on commissions not written, as far as I know. Rules are made up as they went along.
          Whats the companys standard practice for commission payments? I think that is what rob has asked you twice now. He could really help you, if you answer his question. Even if it is not written, there has to be a formula for it being figured out that your company uses to determine what is owed.
          Last edited by turbowray; 09-04-2006, 03:15 AM.

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          • #6
            Sorry, I thought I'd answered his question. Commissions are based on individual sales, example......sell a certain pen, get $1.00. At the end of the month a report is ran, for each employee, and total sales are documented, after the reports run thru the chain of command, sometimes 30 to 60 days after being earned, payment is added to paycheck, there is no set time schedule for commission payments.

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            • #7
              In my state, which is NOT Nebraska, you would be due commissions for any sales in July and August that you CLOSED. You would not be due commissions for any sales that you worked on but that someone else closed after you left.

              You can always check with the state DOL as to what, if anything, is due you.
              The above answer, whatever it is, assumes that no legally binding and enforceable contract or CBA says otherwise. If it does, then the terms of the contract or CBA apply.

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              • #8
                In the job that I had, my sales were closed daily.

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                • #9
                  Once a commission is "earned", it is payable to the employee (per Wage Payment and Collection Act - Nebraska). You mention that you have not received your commissions for July and August. When are these payments due to be settled?

                  If you do not receive your share of commission when they are paid out, you could file an unpaid wage claim. Your employer has 30 days from the day the payments are due to provide you with renumeration for your commissions. If the employer has failed to meet this standard, you would file to recoup unpaid wages in court. If you win your case, you would be entitled to full amount of unpaid wages plus court costs (and all/portion of your attorney fees).

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                  • #10
                    Commissions are not paid on a regular basis. Paid whenever they get to it. I picked up my last paycheck, on Sept 1, commissions were not included. I will draft a letter to request commission payment, and see what happens.

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                    • #11
                      Originally posted by Jobless
                      Commissions are not paid on a regular basis. Paid whenever they get to it. I picked up my last paycheck, on Sept 1, commissions were not included. I will draft a letter to request commission payment, and see what happens.
                      That's a good start! My point is that you should receive your commissions the same time as others would. Your former employer does not have to release your commissions early because you no longer work for him. He only has to pay when he would normally do so. And if 30 days has passed since paid the July and August commissions, then you could file for unpaid wages.

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