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Commission-Based Jobs and the FLSA

Working on commission is rewarding to a many people because it offers them a certain amount of control over their earnings. The obvious downside to working on commission, however, is the fact that if sales are low, the amount of money the employee earns is going to be severely affected.

Despite the fact that working on commission is an agreement between employee and employer, there are still certain requirements for these positions as set out by the Fair Labor and Standards Act. To find out more about what is required of your employer if you are in a commission-based position, contact the overtime lawyers of Tycko & Zavareei, LLP by calling 202-973-0900 today.

Requirements for Commission Based Jobs

If your pay is based on commission, your rights are still protected under the Fair Labor and Standards Act. The following legal requirements apply to commission-based positions:

Employers must pay employees who work based on commission at a rate that is at least the federal minimum wage.
Employees who work for longer than 40 hours a week must be paid the equivalent of overtime pay.
Employees must receive payment for each sale they accomplish.

Employers must obey the law, regardless of the types of payment their employees receive. If you believe you have been treated unfairly by your employer, you need to fully understand your rights and options.