Can employer in California deduct commissions

[Caliskydiver]

State which I work in California.

Hi,

I hope someone here can help me out.

1. I'm an hourly employee in California. I work at an indoor windtunnel, no employment contract was signed at time of employment regarding commissions earned on products or services sold.

2. For every product or service sold by an employee the employee selling the product or rendering the services receives a commission on it. Although our mgmt team refer to them as incentives. From my understand incentives/bonus are one in the same and differ from commissions. Is this true? If so, what's the difference? I do know that bonuses are taxed differently from commission. Correct me if I'm wrong.

3. This commission plan is in writing and posted where we can see it. And it states that they can deduct or refuse to pay our commissions for any actions or behavior they deem to be inappropriate, ie, being late, getting written up, etc.

4. Is it legal for our general manager to deduct our commission from our paycheck for any reason they deem to be inappropriate?

5. In the future is it legal for them to make us sign a contract in which we would forfeit our commissions for any actions they think are inappropriate?

Thanks in advance to anyone who can help answer my questions.

 

[LdiJ]

State which I work in California.

Hi,

I hope someone here can help me out.

1. I'm an hourly employee in California. I work at an indoor windtunnel, no employment contract was signed at time of employment regarding commissions earned on products or services sold.

2. For every product or service sold by an employee the employee selling the product or rendering the services receives a commission on it. Although our mgmt team refer to them as incentives. From my understand incentives/bonus are one in the same and differ from commissions. Is this true? If so, what's the difference? I do know that bonuses are taxed differently from commission. Correct me if I'm wrong.

3. This commission plan is in writing and posted where we can see it. And it states that they can deduct or refuse to pay our commissions for any actions or behavior they deem to be inappropriate, ie, being late, getting written up, etc.

4. Is it legal for our general manager to deduct our commission from our paycheck for any reason they deem to be inappropriate?

5. In the future is it legal for them to make us sign a contract in which we would forfeit our commissions for any actions they think are inappropriate?

Thanks in advance to anyone who can help answer my questions.

Incentives/bonuses generally are at least partially based on merit, whereas commissions are generally based solely on sales. Neither of them should be taxed any differently than any other form of wages.

 

[cbg]

The moment you said contract, the answer to several of your questions became, take that contract to a CA attorney for review.