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LawTalk
LawTalk, Attorney
Category: California Employment Law
Satisfied Customers: 28001
Experience:  I have 30 years of experience in the practice of law, including employment law and discrimination law.
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Im in Car Sales and working at the same dealership for 19

Customer Question

I'm in Car Sales and working at the same dealership for 19 months in California. Last year in 2011, I made $50K+ per year and was top 3 performers. This year to date, I have gone through 2 new Management teams that was hired to save this drowning dealership. I m no longer making anywhere near what I was making. This 1st quarter of 2012 has made me less than 50% of what I made last year due to lack of business and lead sources being funnelled to a favorite student(not me) and no other.

It is forcing me to resign due to lack of business and business ethics that I do not agree with from this new Management. Ethics that I feel manipulate and swindle the consumer! I have been in Sales for more than 15 years and this takes the cake!

My concerns are if I do resign under these reasons, will I be able to collect Unemployment Insurance?

Thank you!
Submitted: 2 years ago.
Category: California Employment Law
Expert:  LawTalk replied 2 years ago.
Good morning,

I'm sorry to hear of the situation.

To the extent that the economy is the result of you making less money, and it is not that the employer is not allowing you to work the same or similar hours that you have in the past, your voluntary resignation would result in your disqualification for unemployment insurance under CA law---I'm sorry.

While the politics of the company now may mean that more leads are being fed to a particular employee, unless you can show that the company is in violation of it's own policy in doing that, then EDD will not see your quitting as justified.

As regards unemployment and pure commission employees, a drop in income can be triggered by many different things---aside from what amounts to having your hours cut by the employer, or having the business shut down during some normal work hours because of lack of business. For a commissioned worker to justify quitting because of a drop in pay, that drop must be proven to be solely the cause of the employer---and in your circumstance, according to you, that can not be done.

Justification in quitting your job which might be persuasive to an Unemployment Insurance Appeals panel would include:

  1. Sexual or other harassment
  2. Needing to move with a spouse or dependent child to another place of residence
  3. Discrimination (Ethnicity, Color, Religion, National Origin, Age, Sex and Disability)
  4. Working conditions that endanger your health or safety
  5. Major changes in the terms and conditions of your job affecting wages or salary
  6. Excessive overtime or an employer’s refusal to pay for overtime work
  7. Major changes in work duties
  8. Difficult relations with a supervisor, for which you are not primarily responsible
  9. Your employer is doing things which break the law
  10. Pressure from your employer or fellow workers to quit your job.
I wish you the best in 2012.

I understand that you may be disappointed by the Answer you received, as it was not particularly favorable to your situation, nor was it what I sensed you were hoping to hear. Had I been able to provide an Answer which might have given you a successful legal outcome, it would have been my pleasure to do so.

Because I help people here, like you, for a living---this is not a hobby for me, and I sincerely appreciate your abiding by the honor system as regards Accepting answers. I wish you and your family the best in your respective futures.

Would you be so kind as to Accept my Answer so that I may be compensated for assisting you? Bonuses for greatly informative and helpful answers are very much appreciated. Thanks Again,

Doug
Customer: replied 2 years ago.

Thank you for answering to the best of your ability. However, I'm not quite satisfied by your answer. I have expessed in my statement that I have a new Mananger that has made decisions in the sales process that I don't agree with, unethical actions that effect my moral standards along with others. He has added duties that were never required of me before, such as Sell "After Sale Options" such as warranties, gap insurance and points on the rate, all these after selling is suppose to be sold by the Finance Manager. This process makes me responsible of lying to customers, telling them that their credit is not great and the banks are giving you a higher rate and recommend that you get extended warranties and gap insurance to satisfy the banks.

 

A car salesman job is to only focus on selling the vehicle only. This new Manager is also forcing us to do telemarketing calls which was never in my job description when I was hired. There is a department that handles "Business Development" or (B.D.C.). With all these changes and increase of hours require of us to work , I make less money that I ever did.

 

Are you telling me that with all this, I do not have a solid reason to resign and be covered by unempoyment insurance? Do I need to work in these slave like conditions?

Expert:  LawTalk replied 2 years ago.
Good morning,

I am quite sorry that you do not like the answer I provided you. I do realize that the law does not provide the remedy you were hoping for, and over that I have no control.

I am, among other things, an employment law attorney---I have been for nearly 30 years, 2/3 of that with a successful, full time practice in CA---- and my answer was not simply to the best of my ability---it was an accurate reflection of the law, and with all respect intended, I take umbrage with your inference that it was something less. I fully understood your factual situation as you stated it, and I took those stated facts into consideration in providing you with the answer.

While I strive to give you an accurate and applicable answer to your question, and if I can possibly suggest an avenue by which you might have a successful legal outcome I will, please understand that I don’t have the ability to provide you with favorable law, or facts, if they do not exist. As you read my answer to your question, I ask you to please not shoot, or disparage, the messenger.

You stated:I have expensed in my statement that I have a new Mananger that has made decisions in the sales process that I don't agree with, unethical actions that effect my moral standards along with others. Under the law, I'm sorry, but this is a non-issue. It has no effect on your eligibility for unemployment. This is essentially "office politics" and does not impact on justification for quitting your job as far as unemployment benefits are concerned.


You also state: He has added duties that were never required of me before, such as Sell "After Sale Options" such as warranties, gap insurance and points on the rate, all these after selling is suppose to be sold by the Finance Manager. Again, this is a non-issue. Employers delegate additional duties all the time. That does not create justification for an employee to quit and thereby gain eligibility for unemployment benefits.

You also state: This process makes me responsible of lying to customers, telling them that their credit is not great and the banks are giving you a higher rate and recommend that you get extended warranties and gap insurance to satisfy the banks. No Sir, I must disagree. If you lie to your customers, this is your choice. Now, if you can show me a company policy that mandates that you lie to customers I will reevaluate this particular issue.

You wrote: A car salesman job is to only focus on selling the vehicle only. This new Manager is also forcing us to do telemarketing calls which was never in my job description when I was hired. Again, this is simply an additional duty for you. It does not provide legal justification to quit. There is a department that handles "Business Development" or (B.D.C.). With all these changes and increase of hours require of us to work , I make less money that I ever did. In my experience this change in job duties, coupled with additional time you put in---but countered by the fact that the economy is in terrible shape and there are other factors at play here, my evaluation of the situation is not changed.

Finally, you ask: Are you telling me that with all this, I do not have a solid reason to resign and be covered by unempoyment insurance? I apologize if I was not clear enough before, but yes, this is precisely what ! am saying. Your facts as presented do not justify you quitting---in terms of becoming eligible for unemployment benefits under the laws of the State of California.

Your final comment I take as a rhetorical question, buy I fee forced to respond for the sake of clarity. I'm sure that you are fully aware that you are free to quit, and go to work for a new employer. You are, obviously, not compelled to work for this particular employer.

I wish you better luck with your next employment situation.

Doug


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