Can management reduce my commission under a signed contract?

I have a signed contract for fifty seven percent commission. I have worked for five years at this salon and management reduced my commission to fifty three percent. Is this legal in Pennsylvania?

2 answers  |  asked Mar 16, 2012 5:11 PM [EST]  |  applies to Pennsylvania

Answers (2)

Christopher Ezold
Before I respond to your inquiry, I must state that we have not spoken, I have not reviewed the relevant documents and facts, and I do not represent you. Therefore, my discussion below is not a legal opinion, but is informational only. Finally, my discussion applies only to issues to which Pennsylvania or Federal law apply, unless otherwise specified.

That being said, many employment contracts with commission provisions also have 'outs' for employers. If the contract was terminable at will, the employer could claim that they terminated it and then 'restarted' your employment at the lower rate. That argument may not hold depending on the facts - how the reduction was communicated to you, etc.

It is very possible, however, that you have a right to the 4% differential in commissions. That 4% may not be worth the fight or the damage it would do to your relationship with the salon, however. There may be some non-legal avenues open to you as well.

If you would like to discuss this matter further, please feel free to contact me at the below address(es) or telephon number.

/Christopher E. Ezold/
The Ezold Law Firm, P.C.
One Belmont Avenue,
Suite 501
Bala Cynwyd, PA 19004
(610) 660-5585
Cezold@Ezoldlaw.com
www.ezoldlaw.com

posted by Christopher Ezold  |  Mar 19, 2012 4:12 PM [EST]
Doris Dabrowski
You must determine whether the employer has breached your written agreement. Has the employer complied with contract provisions, if any, allowing for a modification of the agreement? You should consult with an attorney to review the terms of your particular agreement. Doris Dabrowski, 1525 Locust St. Philadelphia, Pa. 19102, 215-790-1115

posted by Doris Dabrowski  |  Mar 19, 2012 08:24 AM [EST]

Answer This Question

Sign In to Answer this Question

Related Questions with Answers

Have an Employment Law question?