October 13, 2017 / 2:18 AM / in 2 months

6th Circuit revives claims over retailer's commission-draw policy

A U.S. appeals court on Thursday revived claims that retailer hhgregg Inc’s policy requiring fired sales workers to give back advance payments they received against future commissions violated federal wage-and-hour law.

The 2-1 panel of the 6th U.S. Circuit Court of Appeals rejected the company’s claim that it never actually enforced the policy, so it could not be held liable. But the panel affirmed dismissal of a separate claim in the proposed class action by two former hhgregg employees in Ohio that the company’s system of deducting commission draws from future earnings violated minimum wage requirements under the Fair Labor Standards Act.

To read the full story on Westlaw Practitioner Insights, click here: bit.ly/2g5NOMz

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