Employment Lawyers for Salespersons

There are two kinds of employees in the sales industry for purposes of California overtime laws. The first type is an outside sales employee, one who spends at least 50 percent of working time on sales away from the employer’s place of business or an office, including the employee’s house. An inside sales employee, on the other hand, is one who spends at least 50 percent of the time making sales from home or from the employer’s place of business. Employees who make sales by phone or e-mail to potential buyers are inside salespersons for purposes of state overtime laws.  Inside or outside sales work can involve goods, services or use of facilities.

Under California law, a salesperson’s right to overtime depends on a quantitative assessment of how the employee’s working time is spent: does the sales employee spend more than half the time selling or obtaining orders or contracts? Sales employees who do not spend more than 50 percent of the time actually making sales are entitled to overtime pay under California wage and hour laws.

Employer told you Salary + Sales = No Overtime? Call 800-568-8020 for Legal Advice

If you are a sales representative in California and at least 50 percent of your total income does not come from commissions, contact one of our employment law attorneys for a free consultation about your rights to full compensation. We represent sales representatives in Southern and Northern California in cases to collect unpaid overtime.

Under the federal Fair Labor Standards Act, there is a qualitative approach that focuses on defining whether the employee’s primary function is to make sales, and the amount of time spent on sales is just one of several factors to consider. Additionally, California labor laws provide an exemption for certain employees who make sales by telephone or e-mail. Nevertheless, many Calfornia employers pay little attention to the nuances of the overtime exemption for salespersons and categorically refuse to pay inside sales representatives overtime wages in violation of state overtime laws.

At Blumenthal, Nordrehaug & Bhowmik, our overtime lawyers focus on helping sales representatives in cases of illegal pay practices, wrongful termination, discrimination and harassment. Sales employees usually work long hours under strenuous conditions. Many times, sales representatives are victims of hostile working environments. Many employers in California also fail to pay sales representatives overtime wages for working more than 8 hours in a single workday or 40 hours in a single workweek despite the fact that the sales employees are entitled to make additional compensation for working overtime hours.

To learn whether the circumstances of your sales job might entitle you to overtime pay, contact our employment law firm for free legal advice.