A retailer’s plan for calculating commissions for its sales associates did not violate the Illinois Wage Payment and Collection Act because the relevant portion of the statute concerned only deductions from an employee’s wages, and not the method used to calculate the employee’s gross pay prior to deductions.
The Tile Shop, LLC sells tile and related materials and accessories. It operates 128 retail stores across 31 states. Each store employs a manager, one or two assistant managers, and a staff of sales associates. Sales associates and assistant managers are primarily responsible for sales. The Tile Shop pays its sales associates and assistant managers pursuant to a “Sales Associate Pay Plan.” The company gives prospective employees a copy of the plan with its offer letter. The plan explains how the company compensates its sales staff, primarily through commissions but also with bonuses on sales of certain products and periodic incentives. The Shop pays employees on a semimonthly basis. Continue reading ›