Can my previous employer withhold commissions due because they paid for training costs?
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Can my previous employer withhold commissions due because they paid for training costs?
They sent me for a training camp and for the a national sales meeting, both out of state. Their argument is that they are out those expenses because I quit but I did give them their full 2 weeks notice.
Asked on February 13, 2016 under Employment Labor Law, Indiana
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 8 years ago | Contributor
They could only do this if there wa a written agreement saying that they could debit your commissions by the training expenses if you left without 2 weeks notice, or they at least warned you prior to sending you to training camp, that if you left too soon after, you could have to reimburse the training costs--and you showed your agreement to that term or condition by going to training despite the warning (and/or by staying employed and not resigning, if you were told that you *had* to go to training but would be liable for costs if you left soon after; remaining employed after hearing of terms, conditions, rules, etc. shows your acceptance of or agreement to them). Only with your agreement, express or implied, to a written or oral agreeent can you be held liable for training costs.
If they never warned you ahead of time, you don't have to pay; and if they do withhold pay from you for this reason, you could sue them (e.g. in small claims court) for the money.
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