Wage Act Violation: Retroactive Change in Commission Policy
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Wage Act Solution
We filed a complaint on behalf of George and one of his colleagues, alleging violation of the Wage Act by failure to pay for commissions already earned when the change in policy took effect. After some discovery, the parties went to mediation and were able to resolve the case to George and his colleague's satisfaction.
If you rely on commissions as a significant part of your compensation, you should know that your employer can only change your commission going forward. They cannot change it in a way that takes away commissions you have already earned, because that is a violation of the Wage Act.