Commission Timing at Root of Time Warner Unpaid Overtime Class Action

Top Class Actions’s website and social media posts use affiliate links. If you make a purchase using such links, we may receive a commission, but it will not result in any additional charges to you. Please review our Affiliate Link Disclosure for more information.

The 9th U.S. Circuit Court of Appeals is waiting on the results of a hearing from California’s Supreme Court before it will rule on issues related to a sales representative’s minimum wage claims in an unpaid overtime class action lawsuit.

Susan Peabody alleges that while working for Time Warner Cable, a significant portion of her income came from commissions on deals she was able to complete. However, according to her wage and hour lawsuit, the company spread payments over several two-week periods in order to not have to pay a base salary. The unpaid overtime lawsuit claims that the company cannot be exempt from state laws because in the majority of her pay periods, she did not make $12 per hour, the floor required for exempt status.

Time Warner Cable’s employment lawyer who spoke at the hearing stated that because she made an income that annualized would be nearly $100,000, Peabody would be more than covered regardless of whether or not there were any potential issues regarding unpaid overtime. One state Supreme Court justice seemed to agree, wondering how to decide whether or not the income should be measured by when it was generated or when it was paid to the employee.

Once all of that is decided, the Ninth Circuit Court of Appeals will take a look at the case as a whole, having received the appeal after a federal judge granted summary judgment in 2010. The appeals court is seeking clarity about the wage and hour lawsuit since it differs so much from other unpaid overtime class action lawsuit scenarios.

Previously, the state Supreme Court has looked at the piece-work status of car mechanics who are paid a set rate for certain tasks, but who they decided must also receive minimum wage when engaged in other tasks thanks to the work of another wage and hour lawsuit.

The Unpaid Overtime Class Action Lawsuit is Susan Peabody v. Time Warner Cable Inc., Case No. S204804, in the Supreme Court for the State of California.

Join a Free Unpaid Overtime Class Action Lawsuit Investigation

If you were forced to work off the clock or without overtime pay in California within the past 2 to 3 years, you have rights – and you don’t have to take on the company alone. Learn more and obtain a free evaluation of your case to see if you’re eligible for back pay and other compensation at the Unpaid Overtime Lawsuit: Wage & Hour, Overtime Pay Class Action Lawsuit Investigation.