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Pay Practice Legal?

KarenTNKarenTN 12 Posts
in HR & Employment Law Vote Up0Vote Down
Our salesman is 100% commissioned. He has asked me if it is legal for his manager to require him to offer customers products in our line for which he receives no commission. He must handle the warranty, repair, customer service, etc. in the same manner as his commissionable products but receives no compensation for these sales. We have no written sales compensation program and the sales manager has complete control of his department, including pay practices. I do not know the answer. Can anyone help?
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Comments

  • 2 Comments sorted by Votes Date Added
  • GillianGillian 885 Posts
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    I don't think that legality is the issue, but a pay practice that may not make sense. If a lot of time is spent on the other products, the sales people will not be able to make as much money, they will look for other jobs and your turnover will increase. Doesn't make sense to me.
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  • Theresa Gegen TXTheresa Gegen TX 814 Posts
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    I guess from a purely technical standpoint, the employee could argue that he is being forced to do work for which he is not getting paid.

    Whether that argument fits his situation may depend on how integrated the work is.

    From a practical standpoint, I agree with Gillian. The salespeople are not going to spend any time selling the products if they aren't getting anything in return.

    Good Luck!!
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