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Sales representatives and unpaid commissions

On Behalf of | Jan 3, 2023 | Employment Law -- Employee |

If you work as a sales representative, you likely earn a commission based on your sales and other factors. The commission a worker earns will vary from field to field and other issues often influence how much they receive, such as the company they work for, the details of the contract, and more.

Unfortunately, in some instances, workers are not paid their rightfully owed commissions. If you work on commission, it is vital to familiarize yourself with applicable laws to ensure you receive what you are entitled to.

An overview of commissions

According to the U.S. Department of Labor, employers pay workers sales commissions for a variety of reasons. A worker earns a commission that is largely in their hands due to the number of products or services sold. In other instances, an employer may pay a commission based on a department sales goal.

Sales commissions and contracts

Under Florida law, when an individual or business fails to pay commissions to a sales representative in accordance with a contract, the sales rep can take action and, if successful, can recover attorney’s fees and costs for having to bring a lawsuit.

If you believe you were not paid in accordance with the law, reaching out to an employment law attorney is a good first step in determining next steps and whether a cause of action exists.