When a commission paid employee is discharged with sales income yet to be received by our company, when is the final paycheck due?
A. The check is due by the end of the next business day. However, if the commission agreement expressly provides that commissions on sales are not “earned” by the employee until payment is received by the company, the company may pay all other earnings to the terminated employee, but exclude commissions on sales not yet earned. These may be paid at a later date, when the amounts due are known.
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