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Can I Take Legal Action Against My Employer For Unpaid Commissions?
Yes, workers can take legal action against their employer for unpaid commissions. California law classifies commissions as wages, meaning they are subject to the same rules as other types of pay.
Your employer cannot withhold any commissions you have earned. It is also illegal for employers to refuse to pay earned commissions to workers who quit their jobs or are terminated. If your employer fails to pay earned commissions on time and in full, you can sue them for the unpaid amount and potential waiting time penalties for delayed payment.
California law requires employers to put commission plans in writing. A commission agreement must detail how and when an employee’s commissions will be calculated and paid. An employer is liable to pay commissions according to the terms of the signed contract. Typically the employer cannot change the terms of the commission plan after an employee has already earned the commission.
You can take several steps to try to recover your unpaid commissions before pursuing legal action against your employer. First, you can ask your employer directly about the owed commissions.
If your employer still refuses to pay you, you can file a wage claim with the California Division of Labor Standards Enforcement (DLSE), although this can take considerable time and the employer also has the right to simply appeal the DLSE’s decision–which is common for any large award. You can also consider bringing a lawsuit against your employer.
Discussing your situation with a knowledgeable employment lawyer can provide clarity about your options and whether taking legal action against your employer makes sense for you. Some disputes can be resolved informally without filing a lawsuit. If you decide to file a lawsuit, they can guide you through the process and ensure you obtain the best possible outcome. Due to the strict time limits involved with filing a wage claim, it is crucial to speak to a lawyer as soon as possible.
An employment attorney can also investigate whether cases of unpaid commissions have been widespread among other employees at the company. If so, you may be able to file a class-action lawsuit to maximize compensation.
If you are struggling with unpaid commissions in California, an experienced San Francisco employment lawyer can help you recover the owed amount and potential penalties. Contact McCormack Law Firm for a free consultation.
Other Unpaid Wage, Overtime and Commissions FAQ:
- Am I entitled to meal breaks and rest breaks if I am working remotely?
- Are computer programmers and tech workers exempt from overtime?
- Are There Specific Documents or Records Required to Prove Unpaid Commissions?
- Can an employer disclose my immigration status if I file a claim for unpaid wages?
- Can I get fired for claiming overtime pay?
- Can I Take Legal Action Against My Employer For Unpaid Commissions?
- Can my employer change my commission plan or withhold commissions?
- Can my employer fire me for filing a wage claim?
- Can My Employer Withhold Commissions If I Resign or I’m Terminated?
- Can salaried workers earn overtime in California?
- Do I still get overtime if I am a commissioned salesperson?
- Does my employer have to pay me for off-the-clock work?
- Does my employer have to reimburse me for work expenses?
- How can a lawyer help with my claim for unpaid wages?
- How can I protect myself from wage theft?
- How can I tell if I am an independent contractor?
- How do I file a claim for unpaid wages?
- How do I know if I am entitled to overtime pay?
- How do I know if my employer needs to pay me overtime?
- How is overtime pay calculated in California?
- How Long Does My Employer Have to Pay Me My Commissions After They’re Due?
- How much time do I have to file a wage claim in California?
- How much time do I have to file an overtime claim?
- If I receive a salary, am I exempt from overtime?
- If my employment is terminated, is my employer still required to pay me my commissions?
- Is my employer allowed to deduct anything from my paycheck?
- Is my employer allowed to deduct tips from my paycheck?
- Is my employer allowed to withhold my final wages after firing me?
- Is my employer required to pay for my meal break and rest breaks?
- My employer is forcing me to work through meal breaks. What should I do?
- What Are My Rights Regarding My Final Paycheck Once I Quit My Job?
- What are some examples of wage theft?
- What are the main differences between an independent contractor and an employee?
- What Are Unpaid Commissions in California?
- What is an exempt and non-exempt employee?
- What Is Not Considered A Commission?
- What is the minimum wage in California?
- What should I do if I suspect my employer is withholding wages?
- What should I do if my boss asks me to work off the clock?
- What types of damages can I get in a wage claim against my employer?
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