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Sales Position

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  • Sales Position

    I am asking this question for my brother as I am not very familiar with commission, draws, etc...

    He was hired at a mortgage company as a loan officer on 1/17. When they offered him the position they stated that it would be a $1500 a month base plus commission. On 2/1 (payday) they didn't have a check for him. When he asked why they said that they had made a mistake and entered him into payroll as commission only and that they would have to cut a check and have the owners sign it 2 days later when they returned from a vacation. Friday rolled around and when he asked for his check they said that they'd have it Monday. On Monday they said they'd have it Tuesday. On Tuesday he confronted his supervisor who told him that the person who made him the employment offer made a mistake and that he is actually commission only (it takes about 3 months to even earn a commission at this company). They said that the hiring manager is new and didn't understand the pay scale. They said that he would not be paid for any of the hours that he has worked.

    Now my brother doesn't know if there was any contract or anything like that that stated $1500 per month and they won't let him view his folder. He of course wants to resign but I am looking for opinions on what his next course of action should be. Thanks

  • #2
    Anyone have any ideas?

    My brother went into the office this morning, basically the owner told him that the two people that hired him made a mistake when they told him that he would be receiving a salary and that wasn't his problem. He said that if my brother wanted to get paid that he would need to talk to the two hiring managers and get them to pay him out of their pocket. The owner ackowledged that the employment agreement stated that he would have a base but he wouldn't give my brother a copy. The owner was very hostile and was cursing and threatening my brother so of course my brother quit.

    Now, that means he just trained and worked for 3 weeks without a paycheck not to mention the fact that he quit another job to work here.

    Is there anyway that this company can get away with this? He is non-exempt and does telemarketing type work (inbound/outbound telephone calls).

    If anyone can offer any help I would greatly appreciate it.



    • #3
      Comp of any kind is not my strong point; I'm more of a benefits and policies-and-procedures person. And even within comp I'm less clear on commissions than I am on wage and hour. But I would be extremely surprised if they can just not pay him at all for the three weeks he worked.

      I would strongly recommend that he talk to the state DOL. Is he in CA too? If so, I can speak from personal experience that they will be on the employer's back about sixteen point two seconds later.
      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.


      • #4

        He is in CA as well, I downloaded the form for the dol and he is bringing it into the office today. I feel so bad for him... he is a young kid (19) and used all of his money for gas and toll road to get to this job and quit his other job and now he has nothing. I just can't believe that this company is doing this. Anyways, thanks for your help... if anyone else has any opinions it would be greatly appreciated but I guess for now we'll just submit the claim to the dol and see what they say...


        • #5
          That's what I would have suggested as well.
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