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Is it legal for an employer to lower an employee's commision wages after 3 years? Would that be considered a breach of contract?
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The employer can change the rate of pay or commission rate prospectively without any problem unless you have a written employment agreement that provides the commission rate will be X % for a specific period of time. The employer cannot change it retroactively. So if you made a sale last month, the employer cannot suddenly tell you that all prior sales for January will be paid at a lower commission rate.
Answered on Feb 05th, 2013 at 3:36 PM