Can my employer change my commission plan or withhold commissions?

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Can my employer change my commission plan or withhold commissions?

Your employer can come up with a new or modified commission plan. In some cases, your continued employment may even depend on whether you agree to the terms of the new agreement. However, employers are not allowed to change a commission plan to avoid paying commissions that an employee has already earned under an existing agreement.

Under California law, once commissions have been earned based on the terms of the original commission plan, they must be paid in full. The commission plan must clearly explain how your commissions will be calculated and paid.

The document should also include details of any amounts the employer plans to deduct from earned commissions. State law requires the employer to provide the employee with a copy of the commission plan. The employee must then sign off on it.

It is unlawful for employers to withhold commissions. Once commissions are earned, they must be paid at least twice a month, with limited exceptions. When an employee is terminated all earned and unpaid wages, including commissions, are payable immediately.

If your employer has violated the terms of your commission plan or willfully withheld your commissions, you should speak to an experienced employment law attorney. McCormack Law Firm can help you understand your legal options.

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Client testimonials
I can honestly say that my experience with Bryan was all the way positive from day one… We had very high expectations about our case and in the end we got what we hoped for. – Roger J.

Roger J.

This law firm was the only one to answer the phone out of the 15-20 law firms that I called that day. I had a wrongful termination case and Bryan really took the time to listen and understand what happened in my situation, and he knows the law to a T. – Shanic M.

Shanic M.

I was owed wages and overtime and my employer refused to pay me. So I hired them to file a lawsuit. Bryan easily understood my very complicated case and I am happy with the results. – Ebi Z.

Ebi Z.

I didn’t have to pay anything, the firm took the whole risk of managing the case. Through the 14 months, Bryan always kept me updated, was very responsive and patient to questions I had. We achieved a resolution out of court in my favor, making me even happier about the experience. – Peter S.

Peter S.

I won my trial and I got more than I expected. Everyone in the office is so nice and helpful. Even after everything was finished I could call a few weeks after and ask questions to make sure I was protected and they are more than helpful. – Husain N.

Husain N.

I never had to pay Bryan anything up front, nor was ever pressured to settle early. We ended up settling morning of the trial. Bryan is a really sharp, aggressive, seasoned attorney and knew the law inside and out about whistleblower cases. – Kyle B.

Kyle B.

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