Wan an earned sales commission be taken back and what deductions can be made from my paycheck?

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Wan an earned sales commission be taken back and what deductions can be made from my paycheck?

I sold a sofa and got a sales commission of the sofa I sold him. A month later the customer returned the sofa. My employer said I’m obligated to pay back the commission I previously earned and that they will take it out of my next month’s payday check. Can they do that?

Asked on April 15, 2016 under Employment Labor Law, California

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 5 years ago | Contributor

Yes, you have to repay a commission if the item sold were returned and the customer given his/her money back: you are commissioned on the money your employer makes on sales, and in this case, they did not make anything: ergo, no commission. They can charge this amount back against your commissions, and take it out of a future commission check.


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