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Tina, Attorney
Category: California Employment Law
Satisfied Customers: 33166
Experience:  JD, 17 years experience & recognized by ABA for excellence in employment law.
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I was fired from my position as a loan officer on March 26,

Resolved Question:

I was fired from my position as a loan officer on March 26, 2012 from JP Morgan Chase Bank in California. I was told on 3-27-2012 by the HR Department, that effective 3-26-2012, my comission payout would stop for loans closed. In other words, if I closed any loans still in my pipeline after this date, I would not be paid for them. Per California law, I thought I was paid out on any closed transactions 30 days out from the termination date. I clearly understand that the hourly wage would stop but was not clear that the comission portion would be cut off as well. Is this true?
Submitted: 4 years ago.
Category: California Employment Law
Expert:  Tina replied 4 years ago.
Hello and welcome,

Commissions that have been earned, but typically be paid upon termination and cannot be forfeited.

If the commission has not yet been earned at the time of termination and is awaiting the completion of some legal condition precedent, for example, receipt of the customer’s payment, the commission must be paid to the employee immediately upon completion of the condition precedent.

There is no 30 day requirement, but if there is no work left to be done, the commission has been earned, but there is a condition precedent to it being payable, the employer must pay the employee as soon as the condition is fulfilled.

Here is a link that provides more information:

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