Concerned about an employer not paying the minimum wage (telesales)

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vikixc
vikixc Posts: 18 Forumite
in Employment, jobseeking & training
Hi all,

I have just been to an interview and I have to say I am shocked, I do not know if this is the norm for a telesales role.

So I went in and all was going well and then we got down to the point of talking about wages, he said the "basic wage" is £100 per week for 40 hours work (£2.50) per hour, the rest is made up in commission and bonuses if I sell their product. If I fail to sell less than 5 products a week I will just go home with the £100 "basic wage" each sell is rewarded with a £30 bonus

Also, if say I sold 10 products in a week (£300) and I called in sick one day I would lose that £300, this can't be legitimate can it?

Is this the norm? Is this ok? I thought I should be paid at least the minimum wage if I am not classed as self employed? Which btw, I assume I would not be self employed.

Of course I politely declined their offer

I just want to know if this is a normal business practice? I have tried Googling I cant seem to find anything.

Please let me know your opinions on this.

Thanks in advance.

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  • ReadingTim
    ReadingTim Posts: 3,970 Forumite
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    This was the first result on google for me, which suggests it's a fairly common question, and therefore business practise. As long as the employer makes up the pay to NMW in the event the minimum isn't hit, then it's not illegal.

    Furthermore, as an employer, you probably want to 'motivate' (some may say intimidate) your sales staff to sell, so you're not going to tell them they'll get paid something whether they hit their targets or not, would you?!? Otherwise the promised riches and the threat of losing it all is meaningless...

    Similarly, I would imagine that it's not illegal for an employee to lose a week's accrued commission for unauthorised sickness, as long as they still make over NMW for the relevant pay reference period - or the employer pays the difference if they don't.
  • motorguy
    motorguy Posts: 22,479 Forumite
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    Are they going to be treating you as an employee, or "self employed"?

    Is it one of these work from home type jobs?

    That might be how they get round it. If its that minimal a basic wage, i'd avoid it.

    Theres any amount of good call centres out there paying the right amount.
  • sangie595
    sangie595 Posts: 6,092 Forumite
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    ReadingTim wrote: »
    This was the first result on google for me, which suggests it's a fairly common question, and therefore business practise. As long as the employer makes up the pay to NMW in the event the minimum isn't hit, then it's not illegal.

    Furthermore, as an employer, you probably want to 'motivate' (some may say intimidate) your sales staff to sell, so you're not going to tell them they'll get paid something whether they hit their targets or not, would you?!? Otherwise the promised riches and the threat of losing it all is meaningless...

    Similarly, I would imagine that it's not illegal for an employee to lose a week's accrued commission for unauthorised sickness, as long as they still make over NMW for the relevant pay reference period - or the employer pays the difference if they don't.
    It's certainly common practice - amongst really bad employers. If they are this poor, what do you think comes next? Only desperate people agree to such terms, and it seldom ends well.
  • ReadingTim
    ReadingTim Posts: 3,970 Forumite
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    sangie595 wrote: »
    It's certainly common practice - amongst really bad employers. If they are this poor, what do you think comes next? Only desperate people agree to such terms, and it seldom ends well.

    And if a wannabe salesman (or woman) is concerned about the minimum they're going earn for missing their targets or pulling sickies, then they're likely to be a pretty bad salesman/saleswoman/employee. If they are this poor, what do you think comes next?
  • sangie595
    sangie595 Posts: 6,092 Forumite
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    ReadingTim wrote: »
    And if a wannabe salesman (or woman) is concerned about the minimum they're going earn for missing their targets or pulling sickies, then they're likely to be a pretty bad salesman/saleswoman/employee. If they are this poor, what do you think comes next?
    What? Those are gross assumptions. Earning commission is an incentive whatever the basic wage, and commission is earned when someone is working, not when they are off sick. So paying the national living wage is not a huge ask. As all those employers who do not have such terms know. If you want any degree of commitment or loyalty from your employees, the first thing you can do is deserve it. This employer doesn't deserve it.
  • vikixc
    vikixc Posts: 18 Forumite
    edited 4 December 2017 at 11:47PM
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    @ReadingTim

    Thanks for your input.

    "And if a wannabe salesman (or woman) is concerned about the minimum they're going earn for missing their targets or pulling sickies,"

    I love how you automatically assumed it was me who was concerned about what would happen if I were to pull sickies. Well, for starters it wasn't me that raised the conversation in the interview it was the employer. Secondly, I am human as is everyone else, we get sick. I think it is very unfair to penalise an employee for such things.

    The entire interview was just a sales pitch (ironically.) they didn't want to know what I had done or what I have achieved, my CV was actually used to scribble on.

    I found the entire process bizarre.

    Sangie, I agree with you, if they had offered me the minimum wage I would have ripped their hand off.


    I am sorry, the very minimum anyone should live on is the minimum wage. Taking this away isn't a motivation, it's a huge deterrent.
  • vikixc
    vikixc Posts: 18 Forumite
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    motorguy wrote: »
    Are they going to be treating you as an employee, or "self employed"?

    Is it one of these work from home type jobs?

    That might be how they get round it. If its that minimal a basic wage, i'd avoid it.

    Theres any amount of good call centres out there paying the right amount.

    No it is an office based job, and the basic wage is £100 per week :(

    I will be putting an application together for Severn Trent Water tomorrow, let's hope they will value my time more than this shambles of a company:D
  • Malthusian
    Malthusian Posts: 10,965 Forumite
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    ReadingTim wrote: »
    And if a wannabe salesman (or woman) is concerned about the minimum they're going earn for missing their targets or pulling sickies, then they're likely to be a pretty bad salesman/saleswoman/employee.

    Rubbish. I'm good at my job but I wouldn't work for £2.50 an hour plus commission, because I have self-respect and a spine.

    If the employer doesn't think their employees will be able to shift more than one product a day without the threat of starvation, it suggests that their products are complete crap.

    In a legitimate target-focused sales environment, if someone is only shifting 5 units a week, you don't dock their pay to £2.50 an hour, you fire them.
  • robatwork
    robatwork Posts: 7,106 Forumite
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    ReadingTim wrote: »
    And if a wannabe salesman (or woman) is concerned about the minimum they're going earn for missing their targets or pulling sickies, then they're likely to be a pretty bad salesman/saleswoman/employee. If they are this poor, what do you think comes next?

    Crikey you're a piece of work aren't you.
  • stuartJo1989
    stuartJo1989 Posts: 461 Forumite
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    ReadingTim wrote: »
    And if a wannabe salesman (or woman) is concerned about the minimum they're going earn for missing their targets or pulling sickies, then they're likely to be a pretty bad salesman/saleswoman/employee. If they are this poor, what do you think comes next?

    Yea, I sort of agree in one sense.... Its like that Wolf of Wall Street film... "pikers" was the phrase used :rotfl: People who, instead of focusing on the *sell*, are more focused on their pay/sick pay/sick policy/holidays etc basically anything which sort of hints at concerns about what is being offered or future days off.

    I think it is an outdated way of thinking though, but I do appreciate the viewpoint.

    I also like these type of jobs in a hypothetical sense (I'd never do it myself); seems like it could be a nice little money earner for someone with the skills needed! Much better than using those same skills to earn a fixed £7.50 an hour.
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