Resignation Pay

Dolby

Dolby

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As some know, I've resigned and going to a new job 2nd September. I've got two questions :

a) Leave pay - I have 35 days and the letter of employment states no more than 21 may be accrued. My gripe is firstly no one told me to take leave - both verbally or it writing. Secondly, the employment letter is years old and doesn't even state the correct number of days I get anymore.

I've posted once before on this and most said if the letter states, then it is so. But it appears this is actually wrong and all leave should be paid out? http://www.labourguide.co.za/most-recent-publications/annual-leave

the employer may not introduce a "use it or lose it" policy. Such a policy would be illegal, and therefore unenforceable even if the employee signs such an agreement.

The company agreed to meet me half way with 28 days, so I only lose 7 days - but just curious?

b) The second query is more what is bugging me : commission. We pay when the sale is invoiced, the following month ... so everything invoiced March, is paid end April etc. My notice period is August - but surely everything invoiced during this month is still due to me?!
 
Good Luck, i got robbed of leave days when i left my old company.
 
The leave I'm OK about - not thrilled, but ok.

The commission I think is actually against the law
 
Dolby said:
The company agreed to meet me half way with 28 days, so I only lose 7 days - but just curious?
Click to expand...

You're lucky they didn't cap it at 21.


Dolby said:
b) The second query is more what is bugging me : commission. We pay when the sale is invoiced, the following month ... so everything invoiced March, is paid end April etc. My notice period is August - but surely everything invoiced during this month is still due to me?!
Click to expand...

Of course. Why wouldn't they still give it to? Will you banking details change or something?
 
When I changed jobs I was paid once in my notice period and then once again in the month after I left which included leave, outstanding overtime etc. So not much to worry about I think because they can't not pay for August work just because you don't have a bum in the seat in September.
 
Dolby said:
As some know, I've resigned and going to a new job 2nd September. I've got two questions :

a) Leave pay - I have 35 days and the letter of employment states no more than 21 may be accrued. My gripe is firstly no one told me to take leave - both verbally or it writing. Secondly, the employment letter is years old and doesn't even state the correct number of days I get anymore.

I've posted once before on this and most said if the letter states, then it is so. But it appears this is actually wrong and all leave should be paid out? http://www.labourguide.co.za/most-recent-publications/annual-leave

the employer may not introduce a "use it or lose it" policy. Such a policy would be illegal, and therefore unenforceable even if the employee signs such an agreement.

The company agreed to meet me half way with 28 days, so I only lose 7 days - but just curious?

b) The second query is more what is bugging me : commission. We pay when the sale is invoiced, the following month ... so everything invoiced March, is paid end April etc. My notice period is August - but surely everything invoiced during this month is still due to me?!
Click to expand...



You are going to hate what I say but I have been in all 3 positions. On the receiving end, as a Company Director and lastly as an owner of a company.

a) Leave - If they have rules and you knew the rules existed (or you should of known the rules existed) then tough luck. Your only way back would be totally inconsistent implementation of the rules like if everyone else got all their leave paid out and you have been singled out. Tough to prove.

Another exception would be if you tried to take leave and they wouldnt grant it. i.e. the reason why you accumulated so much leave was because they effectively forced it that way then its good practice to pay it out.
Good companies remind people about their excess leave outstanding but it isnt a legal requirement

b) Commission - Well that is governed by the Rules of the Commission Scheme (Often called a Sales Plan, or Sales Incentive Scheme) which is usually outside your employment contract.
If it says you lose, you lose. Even if it doesnt say that but the policy and implementation has been like that and you knew the rules or should have known the rules then you lose.

I once lost a few R100k in incentives but the rules were crystal clear.
Incentive schemes are often good golden handcuffs that prevent good Sales staff from leaving.
Of course when they only lag a month or so then they are hopeless handcuffs.

They cant set out to screw you but they can enforce their rules.

The lesson
- Know the rules
- Take your leave before you resign
- Or live with consequences
 
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You really need to go sit down and have a chat to the people who deal with this sort of thing within the company. Go in and have a nice chat with them, nothing threatening like yes but this and that, ask them the questions you have asked. See their response then come back to us.

Don't burn bridges and come across poorly. Sort it out head on and find out what they think will happen. Then thank them for their time and tell them you just want to make sure everything is in order. No point going in all aggressive demanding this and that, there is a saying: You catch more flies with sugar/honey than vinegar or some shyte.
 
killadoob said:
You really need to go sit down and have a chat to the people who deal with this sort of thing within the company. Go in and have a nice chat with them, nothing threatening like yes but this and that, ask them the questions you have asked. See their response then come back to us.

Don't burn bridges and come across poorly. Sort it out head on and find out what they think will happen. Then thank them for their time and tell them you just want to make sure everything is in order. No point going in all aggressive demanding this and that, there is a saying: You catch more flies with sugar/honey than vinegar or some shyte.
Click to expand...

Excellent advice

If I am dealing with a resignee I am more likely to exercise discretion if he is humble and polite.
If he is leaving and aggressive I dont have a lot to lose by digging my heels in.
 
Chevron said:
Of course. Why wouldn't they still give it to? Will you banking details change or something?
Click to expand...

They are saying they only pay till I leave (31 August) - which means I forfit anything invoiced in August while I'm still here. I don't think this is right at all
 
Agree with not burning bridges and I have chatted - but not much as come out of the chats.

There is a line though between not being walked over and a company taking advantage of the employee. According to the link I posted, they cannot withhold my leave .... But they have held 7 days (1/3 salary). I grinned and took it .... But when thy mentioned they may withhold commission I get a little upset.
 
Biscuit - The reason they met half way is because they say it was both my fault and there's. I have accepted that (grudgingly) - but looking at the law above says that is illegal ...

Commission - I'm sure is illegal to withhold
 
Dolby said:
Agree with not burning bridges and I have chatted - but not much as come out of the chats.

There is a line though between not being walked over and a company taking advantage of the employee. According to the link I posted, they cannot withhold my leave .... But they have held 7 days (1/3 salary). I grinned and took it .... But when thy mentioned they may withhold commission I get a little upset.
Click to expand...

You still lucky you got some of those extra days. At my company anything over the limit gets forfeited when you leave. Already happened to a few guys. Your own fault for not taking leave.
 
Dolby said:
They are saying they only pay till I leave (31 August) - which means I forfit anything invoiced in August while I'm still here. I don't think this is right at all
Click to expand...

This is clearly unfair. If it is commission that you would have got had you stayed an extra month, then they must pay it out to you.
I would probably become difficult with them about this as I believe you are 100% within your rights to this money
 
Its interesting about the labourguide link on leave. I've also read where the department of labour encourages the "use it or lose it" policy as a way to get empoyees to take their leave. Its anyway a common practice as its a way to stop employees from accumulating leave over years to get it paid out at a higher salary rate.

But that is why we have CCMA.
 
Why dont you phone the CCMA and hear what they say ?

If you feel you are being treated unfairly then have them come mediate thats exactly their purpose.
 
I don't want to go the CCMA routre or anything yet.

I'd rather say 'see? This link says you must pay me ...' and nudge them
 
cbrunsdonza said:
commission was paid on all goods invoice, paid in full and delivered.
Click to expand...

Same as mine.

But I'm still here in August when the goods are invoiced and delivered. These were my sales
 
Is that leave total your calculation or do you see the total on a payslip/some other company paperwork?
 
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