California Written Commission Agreement

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The Labour Code defines commissions as compensation paid for services provided upon the sale of the employer`s property or services, proportionally based on the amount or value of the employer. And some types of payments are not considered commissions for the purposes of the written request. The new statute expressly excludes: (1) short-term productivity bonuses paid to retail employees; (2) temporary and variable incentive payments that increase but do not reduce the payment under the written contract and (3) bonus or profit-sharing plans, unless they include a fixed percentage of turnover or profits for the work to be performed. #4: A written commission agreement must be submitted to you, whether your compensation consists of commissions in full or only a portion of your compensation.. . . .

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