Should I Be Paid Commissions Earned Before Termination?
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Commissions are wages under the Massachusetts Wage Act, and any earned commissions must be paid on the day of termination.
When a commission is "earned" will depend on the company's commission policy. If there is no formal policy, the default under the law is that they are earned when a customer agrees to a sale. Invoicing and payment does not always happen at the same time, and payment of the commission to employees is often even later than that. Some employers have policies that state you are not eligible to receive commission payments after your employment ends. If you have earned the commission before termination, however, the Massachusetts Wage Act controls over this policy and you should be paid. Failure to pay earned amounts is a violation of the Massachusetts Wage Act, and could entitle you to treble damages if not paid before you file a complaint. You should speak to an employment lawyer immediately if you think you have not received all of your final pay. Learn more here about commission payments under the Massachusetts Wage Act. |
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