I work as a car salesman in California. We get paid commission plus bonuses. If the commission is less than the minimum wage, the dealership will pay minimum wage, however, will deduct any bonuses from the minimum wage. Is this legal?
2007-08-07 18:43:51 · 3 answers · asked by OC 6 in Business & Finance ➔ Taxes ➔ United States
No, they have to pay at least minimum wage no matter what.
2007-08-07 18:46:15 · answer #1 · answered by Anonymous · 0⤊ 0⤋
They have to pay at least minimum wage. If they are truly calculating your pay as minimum wage minus whatever bonus money you get, then no it's not legal. But if you mean that they are counting the bonus as part of the minimum wage amount, then yes that's legal.
Example: say your hours times minimum wage for the week was $400, and you were due a $250 bonus for that week. They couldn't just pay you $400 minus the $250 or just $150, since that would be paying before minimum. But what you would get would be $400 - you wouldn't be due the $400 for minimum wage PLUS the $250 bonus.
2007-08-08 10:16:51 · answer #2 · answered by Judy 7 · 0⤊ 0⤋
As long as your gross pay nets out at minimum wage the employer is legal.
2007-08-08 07:18:20 · answer #3 · answered by Bostonian In MO 7 · 1⤊ 0⤋