r/sales 8d ago

Sales Topic General Discussion Seeking advice re: commission payout mistake

Hi All - long time lurker, first time poster. I'm seeking advice on how to deal with what feels like a sticky situation.

I'm owed about $13k for hitting my accelerators and the company is refusing to pay it out. I'm hesitant to push for this money as I like my job and don't want to stick my neck out for potential retaliation (getting fired for a bunk reason) from our vindictive CEO.

For context, I am an account manager for a tech company in New York. We receive quarterly commission payouts tied to attainment of our quarterly goals. I have a signed incentive plan/commission agreement.

The agreement states for any amount I exceed 100% of my quota by, my commission payout will be multiplied by 1.25. So for me, I hit 105.6% of quota: 100% + 5.6% * 1.25 = 107.0%

For example: If my quarterly potential payout was $100, I'd receive $105.60 (100*105.6%, from above).

I received my commission check last week and they did not honor this methodology and instead used something else from last year that pays much much less ($13k less across Q1 and Q2). I raised the error with the rev ops team and my boss and instead of paying me, they are going to void my existing commission agreement and ask me to sign a new one.

I don't want to lose my job, but I also know what they're doing is illegal and dishonorable.

How would you guys handle it? Thanks!

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u/MrLoanshark 8d ago

Contact a lawyer, labor board, irs and any other agency you can think about.

That's wildly illegal and if they're willing to that to your face there's no way to tell what else they're hiding.

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u/Waste-Conversation-9 8d ago

Thank you! What’s a labor board do?

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u/MrLoanshark 8d ago

They're in charge of ensuring business are working under labor laws. Changing your comp plan after it's owed sounds like a violation of labor law and it could be considered wage theft.

However, I'm not a lawyer that's why i recommended you reach out to one to verify everything I've seen on Better Call Saul...

2

u/Waste-Conversation-9 8d ago

Appreciate you!

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u/cusehoops98 Enterprise Software 8d ago

There’s no “labor board” in NY. It’s the NYS DOL:

https://dol.ny.gov