In reference to Labor Code 2802
My close friend has just accepted a new sales job in California. she is salary plus commission. I read a copy of their employment contract and felt that one section was in violation of code 2802.
essentially for each sales transaction she completes she is required to travel and do many overnight stays. Her commissions are based on the net sales amount - the employer is requiring that all travel expenses incurred and any costs of business related to the sale are deducted from the gross sale and she is then paid commission on the net sale. i have worked in sales for many years and have never heard of such a practice. isn't travel and expenses the employers responsibility and cost of doing business? can they legally deduct this from her commission check?
1 Answer from Attorneys
I don't see a problem. The employer is still paying for the expenses and the commission. It might not be common but she's also on salary as well.
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