Unpaid Overtime/Salary Misclassification/Overtime Lawsuit (Part 2)

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Outside Sales Exemption

Employees who perform outside sales work are owed overtime and are eligible for an overtime lawsuit in California if less than 50% of work time is spent in actual outside sales and related activity. Outside sales does not include sales made by mail, telephone or the Internet unless such contact is used merely as an adjunct to in-person sales visits with clients. Because of unpaid overtime labor laws in California, any fixed site, whether home or office, used by a salesperson as headquarters or for telephonic sales soliciting is considered a place of business, even though the employer is not in any formal sense the owner or tenant and does not constitute time in outside sales. Sales that originate by telephone generally do not qualify as outside sales.

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Unpaid Overtime/Salary Misclassification/Overtime Lawsuit (Part 1)

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According to California’s overtime laws pertaining to an unpaid overtime lawsuit, only salaried employees qualifying under the “white-collar” overtime exemptions are absolved from receiving overtime premium. Executive (managers), administrative, professional, sales, and computer professional employees are exempt from overtime requirements, provided they meet certain tests regarding job duties and responsibilities associated with overtime and when commission is equal to or above stated amounts. An unpaid overtime lawsuit is validated using and understanding California class action overtime lawsuit laws.

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A Sales Worker Compensation Guide

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Image source: www.meshio.com
Salaries of sales worker supervisors vary substantially, depending on the level of responsibility the individual has; the person’s length of service; and the type, size, and location of the firm.

In May 2004, median annual earnings of salaried supervisors of retail sales workers, including commissions, were $32,720. The middle 50 percent earned between $25,120 and $43,110 a year. The lowest 10 percent earned less than $20,110, and the highest 10 percent earned more than $58,400 a year. Median annual earnings in the industries employing the largest numbers of salaried supervisors of retail sales workers in May 2004 were as follows:
Building material and supplies dealers $34,210
Grocery stores $31,360
Clothing stores $30,660
Other general merchandise stores $30,150
Gasoline stations $27,510

Compensation systems vary by type of establishment and by merchandise sold. Many supervisors receive a commission or a combination of salary and commission. Under a commission system, supervisors receive a percentage of department or store sales. Thus, supervisors have the opportunity to increase their earnings considerably, but their earnings depend on their ability to sell their product and the condition of the economy. Those who sell large amounts of merchandise or exceed sales goals often receive bonuses or other awards.