Subscriber Discussion

Paying Sales People Before Terminating

UI
Undisclosed Integrator #1
Oct 20, 2014

We have sales person that is base + commission. Things are not going well with them. A few of their jobs have not been completed and a few the customer hasn't made final payments. Do i have to pay out the commission at all? Or when we receive final payment? Our commission structure is based off net profit.

U
Undisclosed #2
Oct 20, 2014

Standard process is they get commissions for anything that closes or comes in up to 30 days after their termination.

JH
John Honovich
Oct 20, 2014
IPVM

Questions:

  • Are your commission terms stated in an written employment contract?
  • What is your company's historic policy in these situations?
  • Is this person likely to be litigious and / or a pest?

As a general practice, I confer with B above but you might modify your approach based on answers to the question above.

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