Texas Unpaid Commissions or Bonuses Attorneys
The experienced employment attorneys at Leichter Law Firm PC represent employees who have not received their hard-earned commissions or bonuses. We fight on behalf of workers all over the state of Texas, and we get results. Don’t wait to contact us if you feel that you have not been paid what you earned and deserve. We’re here to help.
The terms commission and bonus are often used interchangeably, and in terms of being taxable income, there isn’t much difference in how they are treated by the IRS. However, each has its own specific way of being earned. A commission typically refers to money that is paid to an employee often as the percentage of a completed sales transaction, while a bonus is usually extra pay provided for possibly satisfying some monthly, quarterly or annual goal.
The Texas Payday Law states that wages paid on commission and bonuses are due according to the terms of an agreement between the employee and employer or an applicable collective bargaining agreement. Many commission and bonus disputes arise after an employee has left a company, but issues with fair pay also arise when employers make changes to the way that commissions or bonuses are paid.
If your employer has failed to properly pay you commissions or bonuses that you were rightly owed, you should strongly consider retaining legal counsel. An experienced employment law attorney can help you obtain all of the compensation you are entitled to.
Leichter Law Firm PC only represents employees in Texas, never employers. You can have our Texas unpaid commissions and bonuses lawyers provide an honest and thorough evaluation of your case when you call (956) 205-0884 or complete an online contact form to set up a free consultation.
Do I Need An Unpaid Commissions or Bonuses Lawyer?
You certainly have the power to handle your own wage claim with the Texas Workforce Commission (TWC) under the Texas Payday Law. A wage claim needs to be submitted within 180 days of the date the claimed wages originally became due for payment, but you are then at the mercy of whatever the TWC concludes at the end of its investigation.
You can significantly bolster your chances of recovering compensation by working with an employment law attorney. When fighting to get back money that is owed to you, an experienced attorney will take a path that is more likely to generate real results. A lawyer will investigate your situation including your employment agreement and may find that you are entitled to even more money than you realized. Many of these types of cases hinge on the employment agreement that stipulates how and when bonuses or commissions are to be paid.
Written agreements are generally the most common and usually easier to enforce. Oral agreements for bonuses and commissions can be far trickier to navigate. Regardless of how the agreement was formed, you will need an attorney to prove that your employer violated the essential elements of the agreement.
Why Choose Leichter Law Firm PC To Handle My Case?
Leichter Law Firm PC has a history of delivering significant results for employees all over Texas. Our firm recovered $5,523,715.82 verdict and settlement for nurses in an unpaid overtime action. We have also recovered a $29,679 settlement for a retail clerk and a $45,000 settlement for a K-9 officer, both in unpaid overtime actions.
Leichter Law Firm PC has agreed to several confidential settlements in unpaid wages cases involving oilfield workers, nurses, hotel employees, call center employees, office managers, funeral home employees, and delivery drivers.
Founder Louis Leichter is a member of the State Bar of Texas, the National Association of Addiction Professionals (NAADAC), and the Texas Association of Addiction Professionals (TAAP). He received an AV Preeminent rating from Martindale-Hubbell in 2018; a peer rating denoting the highest level of professional excellence. David Langenfeld is Board Certified as a Specialist in Labor and Employment Law, a distinction applicable to less than 10 percent of attorneys.
Types of Unpaid Commissions or Bonuses Cases We Handle
Leichter Law Firm PC has experience handling unpaid bonuses and commissions for workers in a wide range of employment industries. In general, some of the most common kinds of claims we see involve:
- Failure to pay commissions or bonuses as specified in an agreement
- Improper calculation of commissions or bonuses
- Terminating employees to avoid payment of commissions or bonuses
Every case is unique. However, an employee will not be entitled to commissions or bonuses that they can not prove was earned.
The first major issue in your case involves showing that a commission or bonus agreement exists and whether it was written or oral. A written agreement can immediately be scrutinized for any vague or ambiguous wording, which may be construed by a court against the employer.
Aside from the clarity of the agreement, issues can arise regarding when a commission or bonus is earned and what duties may need to be performed in order to earn the commission or bouns.
Another common issue how unpaid bonuses or commissions are handled when an employee is terminated for good cause or voluntarily resigns before the commissions or bonuses are paid. Some agreements may allow commissions or bonuses to be denied when an employee is fired with cause. These types of provisions generally apply more to higher-level executive contracts though.
Frequently Asked Questions
What deductions can be taken from commissions and bonuses?
An employer who has received an Internal Revenue Service (IRS) withholding order must withhold applicable taxes from all wages, including commissions and bonuses. The Texas Family Code also provides that garnishment for support obligations apply to certain post-termination lump-sum payments such as bonuses and commissions.
Do commissions or bonuses need to be paid to employees who quit or are terminated?
In most cases, yes. All commissions or bonuses that were earned need to be paid, regardless of whether the employee continues to be employed by the employer. The TWC states that when an employee quits, retires, resigns, or otherwise leaves employment voluntarily, their final pay is due on the next regularly-scheduled payday following the effective date of resignation. Bonuses and commissions become much more complicated when they were not yet earned when the employees resigned or were fired. Those cases are generally governed according to the way in which an employer previously handled such cases. Many employers argue that they are not responsible for commissions or bonuses because they fired employees with cause.
When can an employer change a bonus or commission agreement?
Employers have the right to modify their commission, bonus, and other compensation plans. This right, however, does not allow for new commission, bonus, or other compensation plans to replace the wages owed under the prior commission, bonus, or other compensation plans. It is common for employers to announce changes to these plans which negatively affect employee earnings. This may result in employees resigning in response to the change, which leads to unpaid bonuses or commissions.
Unpaid Commissions or Bonuses Statistics
The Wage and Hour Division (WHD) of the United States Department of Labor (DOL) reported that in its investigations in fiscal year 2017, the agency recovered $270,403,906 in back wages for 240,608 employees. This is equivalent to an average of $1,125 in back wages due for each employee.
Of the 19,808 complaints registered in fiscal year 2017, the WHD reported it took an average of 114 days to resolve a complaint.
The following is a breakdown of cases resolved by the WHD in fiscal year 2017:
|Low Wage/ High Violation Industries||# of Cases||Amount of Back Wages Recovered||# of Employees|
|Hotels and Motels||1,605||$5,450,509||8,302|
|Child Care Services||836||$1,234,587||3,882|
The WHD states it has helped more than 1.3 million workers in the past five years. During that time, the agency claims it has recovered over $1.2 billion in entitled wages.
Contact a Texas Unpaid Commissions or Bonuses Attorney Today
Is your employer failing to pay you commissions or bonuses that you earned? Do not wait to contact a lawyer for help protecting your rights and determining the steps that you will need to take.
Leichter Law Firm PC has helped employees in a wide variety of different occupations obtain unpaid wages from employers of all sizes. Call (956) 205-0884 or contact us online to have our attorneys review your case and answer all of your legal questions during a confidential consultation.