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Inside Salespeople May Be Entitled to Overtime Pay for Those Long Hours

It is often the case that inside salespeople are paid some amount of salary, plus a commission. This compensation scheme occurs in many industries, but it is particularly prevalent in the area of software sales.

The law governing whether or not commissioned salespeople are entitled to overtime compensation is often complicated and confusing. It depends on whether or not (1) the products sold are "retail" products, (2) the employee's total compensation exceeds 150% of the minimum wage, and (3) for a "representative period," the commission portion of the employee's total compensation exceeds the salary portion. Within each of these three seemingly simple categories are a series of complicated requirements with which the employer must comply.

We have experience representing commissioned salespeople who work long hours without overtime pay. If you are an inside sales representative, and you are wondering if you are entitled to overtime compensation, contact us to find out.

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