Employment attorney practicing in Tennessee. The sudden stoppage of commission payments is a more serious issue than many employees realize. Under Tennessee Code Annotated Section 50-2-103, an employer must pay all wages (including commissions) earned by an employee in accordance with the established pay schedule.
Key legal points for your situation:
- Commissions that have been earned per your commission agreement or plan are considered wages under Tennessee law -- they cannot be withheld unilaterally
- If the employer changed the commission structure going forward with proper notice, that may be permissible. But retroactively withholding commissions already earned is a wage violation
- Tennessee does not have a state wage claim process like many other states, so your primary remedy is either a federal claim under the FLSA (if applicable) or a state court breach of contract action
- The statute of limitations for wage claims in Tennessee is 6 years under the general contract statute, giving you significant time to act
Regarding the meal break violation component: Tennessee does not have a state meal break law for adult employees. However, if you are covered by the FLSA and your employer deducts meal break time from your hours but requires you to remain on duty or available during that time, you may have an FLSA claim for unpaid wages. The Department of Labor has been increasingly aggressive about enforcing this.
Start by gathering your commission agreement or plan document, pay stubs showing commission payments before they stopped, and any written communications about the change. Then file a complaint with the Tennessee Department of Labor and Workforce Development, even though their enforcement power is limited -- the complaint creates a paper trail that strengthens any future lawsuit.