Is this Legal? Job payment information.?

Question

I have a friend that is a car salesman. They pay based on commission BUT if you dont sell enough cars in two weeks to make min wage for that pay period so they will give you what ever amount is needed to make your paycheck be min wage." Like if min wage is 900 for a 2wk period and you only make 600 they will give you the extra 300 to make in 900.00." BUT ( this is what im wondering if its legal) Say the next pay period you make 900.00 they will take out the 300.00 they gave you the first pay period which achually brings your paycheck less then min wage. Also, someone else that works there ended up not getting payed at all. His first paycheck was 1800.00 but with the second he didnt sell any cars. They ended up not paying him because his first paycheck was enough to be min wage for that whole month. In their books they made it look as if they just gave him a months paycheck at one time. We are in West Virginia ( if that helps) and this is getting really frustrating for him and his family because this is a new dealership and they arent getting much buisness so his paychecks are not large enough to support him family. Does anybody know if this is legal to pay a person this way? I know commision based payment is legal but is it legal to take the money out from the next paycheck even if it will send you way under the min wage line.

Update:

well if they didnt take the 300.00 they had put in the 2wks before he would have made min wage but seeing they took it out it made him under so idk if that would be conseridered him makin min wage or not. He knew they "helped" out when he didnt sell up to min wage but unfortuanlly found out the hard way they take it back out when he only had a very low paycheck at the worst of times. Can he do something legal about this or should he just try to find another job a quit. ( hes tryed to find another job but has had no luck)

lucy · Accepted Answer

http://answers.yahoo.com/question/index?qid=20080104104143AAl1nJ9

http://answers.yahoo.com/question/index?qid=20080421110350AAAt4wK

http://wiki.answers.com/Q/Draw_against_commission

Draw against commission
Also straight commission, except the employer lets you draw a certain amount of money each pay period to help you get started. So if you have a $3,000 draw and you make only $2,000 in commissions, you would get a check for $3,000 and pay the company $1,000 back out of future earnings. Most draws are “forgivable,” which means that if the job isn’t working out you could quit and not have to pay back any money you owed the company. Draws may last indefinitely or for a specified number of weeks or months, and the draw itself may be reduced or increased over time.

It appears that this dealership is doing draws against commission and is perfectly legal.   The sites attached explain this and also the paragraph above that I copied. 

My step daughter has been in sales for over 5 years and many companies she has worked for will do this and is a good way to help get you started, motivated and up to par.  But many companies will do this for 6 months max, since if you are not selling, then taking away the draws, you will either quit or get motivated to sell and make money. 

The way it is set up, your friend is guaranteed of getting a paycheck, vs only a "straight" commission job and if there are no sales, thus no money,,,,,,,,period. 

good luck

Anonymous · Answer

So if you have a $3,000 draw and you make only $2,000 in commissions, you would get a check for $3,000 and pay the company $1,000 back out of future earnings. Most draws are “forgivable,” which means that if the job isn’t working out you could quit and not have to pay back any money you owed the company.

Ed Fox · Answer

Nobody with any common sense would accept a position on such a basis.  Apparently people still come for the job and so the company will never change its system

WRG · Answer

As long as he makes at least minimum wage for hours worked each week it is legal.

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Is this Legal? Job payment information.?

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