If I work a job that pays both salary and commission in CA and I resign before the regular commission payout date, will I receive the commission?

Anonymous

September 26,2023 at 12:39PM UTC

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If I work a job that pays both salary and commission in CA and I resign before the regular commission payout date, will I receive the commission? I’m receiving an offer for another role, but the quarterly commission for my current role is due to payout later this month. Should I wait for the payout before putting in notice? I’d really love to have a week or two off before starting the new job but I don’t want to miss out on the money if I can avoid it. What are the laws here?

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Peace OutSeptember 26,2023 at 12:46PM UTC
What is your company's policy?
Peace OutSeptember 26,2023 at 12:46PM UTC
I ask that realizing that California has some really fun employment laws, but company policy does matter as well.
AnonymousSeptember 26,2023 at 12:50PM UTC
Talk to HR and Google the policy, laws
Caleene Jones NewmanSeptember 29,2023 at 3:16PM UTC
In most states, commission is considered money earned and you should receive the full payout.
AnonymousSeptember 26,2023 at 12:53PM UTC
In CA, you get paid for it. Commission may be in it's own category, but yes you will get it. Why don't you look at your employee handbook and learn from your company as this should be stated there. CA is very strict on their employment laws, etc.
TLSeptember 26,2023 at 1:56PM UTC
You can check the company handbook, but depending on the company I would recommend checking if your company has a commission policy. At my previous company, where I managed ÇA and MI employees, we did have a Regional Account Manager leave and I believe they only paid him commission for any business that was already signed off on and not for any where the clients were open and close to signing. Hope this helps.
AnonymousSeptember 26,2023 at 3:22PM UTC
I can’t ask about the policy without raising a red flag and I don’t want to do that. The handbook says nothing. It’s been 8 years since I signed on for the company and I unfortunately haven’t found my onboarding paperwork.
Joan Williams, Senior Talent Acquisition SpecialistSeptember 26,2023 at 11:42PM UTC
Does your company have an online HR portal where you could access that information?
AnonymousSeptember 28,2023 at 12:25PM UTC
Yes, you are owed that money under your contract, but if you leave in the middle of the cycle, your payout would only be up to your last day even if clients you lined up sign after that date.
AnonymousSeptember 28,2023 at 2:11PM UTC
I think you need to research what the law in California says first. If that’s vague then it’s up to the company. In my experience (and to be clear, I have never worked in California), a company will typically not payout a commission or bonus if the person has resigned before payout unless there are documents (handbook, policies) stating otherwise. And if you can’t find something in writing, it would be hard to fight.
Sarah StadtherrSeptember 28,2023 at 2:20PM UTC
As a former Californian I'd recommend contacting the Department of Labor. https://www.dir.ca.gov/dlse/ To my recollection you can have a phone consult.
maria roseSeptember 28,2023 at 3:52PM UTC
Following along with the other commenters, why throw away money ( the commission earned) just for the benefit of having a few extra days off if you can make the notice to resign to align with the cutoff date. Unless you are the rarity among us, who doesn’t work to earn a living and really don’t need the income. Especially dealing with California labor laws, your company may have re-labeled you as a independent contractor despite getting a:salary and will determine commission earnings per time period with no prorating if you are not employed until the end date. Your choice
KHMSeptember 29,2023 at 12:54PM UTC
I left one week prior to getting paid my commission and my company never paid me. They actually told me on my last day so it was deliberate and being spiteful.
AnonymousSeptember 29,2023 at 6:13PM UTC
What state? Just curious
Deb AllenSeptember 29,2023 at 1:04PM UTC
Negotiate your start date due to the "money on the table", most organizations are very accommodating, or if they need you sooner they may offer a signing bonus to cover part of the loss. Worth looking into.