Questionable Commission Structure

[dschirtz74]

I am a buisness manager structured completely, 100% commissioned in a dealership who retained my 3rd party company to do the financing and aftersell of vehicle accessories. I have been working here for a little over 1 month and I am now getting my first 100% commission check. However, the company and dealership I work for have included approx. 20% in deductions from my paycheck for "chargebacks". Although these chargebacks are from commissions paid to previous employees from 3-4 years ago even. Is it legal to take my earned commissions away for monies paid years prior to other employees who quit? It doesn't seem fair to me. :confused

Sincerely,

New York

[Pattymd]

There is nothing I know of in state law that mandates the terms of commission agreements. This is strictly between the employer and the employee. Is it fair? I don't think anyone would say that it is fair. But is it legal? Probably yes, since there are no laws prohibiting it.

[dschirtz74]

Originally Posted by Pattymd

There is nothing I know of in state law that mandates the terms of commission agreements. This is strictly between the employer and the employee. Is it fair? I don't think anyone would say that it is fair. But is it legal? Probably yes, since there are no laws prohibiting it.

I contacted the Dept of Labor and Attny Gen. office and they stated that it was not legal under NYS law. Thanks for the input though. I am in negotiations with my current employer to get this issue resolved. He has since decided not to withdraw the difference from my check. Thanks.

[Pattymd]

Well, that surprises me, but I'll bet it would have been a violation of the contract laws, not wage and hour regulations. Good luck.