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Thread: Convert salaried nonexempt to commission? Illinois

  1. #1
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    Default Convert salaried nonexempt to commission? Illinois

    Illinois employer with a group of 10 telemarketers that are non exempt and are paid hourly with overtime. We want to convert all to commission. First, can we change from salary to commission all at once on everyone? No one has written agreements. If they don't want to continue working for us under the new payment arrangment, they can leave. Not sure if that is kosher.

    Second, we understand that minimum wage and overtime will be required, so we think that means commission, but with a base minimum. We also will track hours so that the compensation paid always at least meets what the minimum wage plus overtime would have been.

  2. #2
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    Commission "only" for nonexempt employees is a misnomer at best. Since you know that you still must track hours and pay minimum wage and (possibly) overtime, sounds really like more of a conditional draw.
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  3. #3
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    is it ok to change a group of current employees compensation system, as long as it is done nondiscriminatorily? they are employees at will, but what does that really mean?

  4. #4
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    Theoretically, unless the difference is due to a protected characteristic of the employee, such as race, gender, national origin, etc., it would be legal, based on the information you have provided.

    However, why would you not change everyone who is doing the same job?

    http://en.wikipedia.org/wiki/At-will
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  5. #5
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    We are changing the compensation system for all of the telemarketers.

    Thank you for your help!

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