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Sales commission

Due to a chronic illness I am in discussion with my employer on restructuring my job with a slightly different role and method of working. This is great.

To date I have been paid a basic salary plus commission dependent on completed sales transactions. This commission is paid by the office. Only the director and myself bring in me business in our office but another employee works in the team and we all work on selling and then progressing each sale through to completion when we are paid. My boss brings in the most expensive sales but I do more smaller sales and more of them. Our current booked actual sales "pipeline" on which I am currently paid is 70% new business from me and 30% by my boss - his being the higher value items.

My new structure would be an hourly rate but starting a totally new pipeline for just me and my employer where I would get a small amount for bringing in new business and a bigger commission when the product is sold / paid for which happens at the same time.

The sales transaction time takes 2-3 weeks to win the business (can be longer), 2 weeks to prepare the product for sale, 2-3 months to find a buyer and "book" the sale and then 3 months plus plus for the sales transaction to be processed with payment at the end.

Therefore my new pipeline will start at £0.00 on whatever date and start paying out in probably 4 mths minimum plus plus.

I believe that I should receive commission on the existing pipeline but when I start the new role, on that date for me the existing pipeline is frozen, but on completion and payment for each transaction I receive the agreed commission. The amount would decrease over the next 1 to 4 months as the various transactions complete.

This is not what me employer thinks. I feel aggrieved as I have worked hard and contributed not only to winning business but as a result of this to the sales booked and the considerable existing pipeline. I totally appreciate from when my new role kicks in then I can only be paid on my new pipeline but also commission on the existing transactions which would get a smaller and smaller amount as those sales finish.

Technically on the way they are trying to treat me now I could build a new pipeline and then something changes and I again get paid nothing.

I very much respect my employer supporting me in the change of my circumstances but do strongly feel I am owed the money worked for with the sales actually booked. As this tails off financially I will hopefully be seeing a new money pot building up on the new structure.

None of us have a contract so there is absolutely no clarity which does not help.

Any advice?

Thank you.

Catherine

Comments

  • So, you want compromise but only from the employers side?

    If the employer is being good to you regarding your illness (considering they only have to make reasonable adjustments and creating a new role is unlikely in my opinion to come under this) is this really something you want to battle with them over?

    Regards the contract, you have a contract even if its not written down but the issue here is that you are moving role and they can argue that any commission is only paid whilst in that role that earns the commission. If you left the company you wouldn't expect payments 4 months down the line.
    Don't trust a forum for advice. Get proper paid advice. Any advice given should always be checked
  • megadishu
    megadishu Posts: 111 Forumite
    Part of the Furniture Combo Breaker
    I have brought in thousands of pounds of new business that I have not been paid for. They have made adjustments but I gave back by working a minimum of 40-50 hours but over 4 days to help with my disability. Apart from my boss I bring in the most new business.

    It is usual with sales that when a sale is booked you are then owed commission. In most sales environment where commission is the main part of the salary even if you leave u r still paid the commission booked when the company is,paid even a few months later. I am not leaving.

    They are saying won't pay what they owe but I can start from £0.00 and I may get paid new commissions booked but in 4-6 mths time, unless they of course change their mind ...

    As the new role will be 95% just commission it is important not to work just on good faith but on knowing you will be paid.

    The reason they want me to stay is that I bring in big commissions and lots of it. I am good at what I do, luckily for me, have a great reputation, but a disability in the form of a chronic illness.

    I also worked many days free of charge in the first couple of years for them, so it has not been a one way street. I came from a different industry wheni first became sick, could not work at all, the worked just Saturdays paid and for free on couple of days a week and from home. This was when banks crashed and the company was struggling and I had offered to help out. It was nice for me as was sick but was able to work for free as and when I could.

    I became nearly full time, have had a horrendous relapse and woken up that health first, work second. I have just been horrendously sick just resting so I can work.
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