Hi,
I recently quit my job from a company in the business of stock broking. I have worked there for 10 years and 10 months. However, I have not received a single rupee as commission provided for in my employment agreement. And I have also been stiffed my last month's salary. I want to press charges in the hopes of atleast an out of court settlement as the employer is very adamant.
I would like a clarification on a clause in my agreement regarding calculation of commission. I have had two interpretations of the clause from my colleagues and the clause goes as follows.
"In addition to the remuneration mentioned above, the party of the second part (ME) shall be eligible for 10% in the share of profits of the party of the first part (EMPLOYER) generated from that branch after attaining a minimum gross commission of Rs. 50,000 per month and on the commission earned over and above Rs. 50,000 per month."
Assuming the Gross Commission as Rs 100,000/- and Expenses as Rs. 30,000/- in the month, the following two interpretations are possible,
1. Commission = (100,000 - 30,000)*10% = 7,000
2. Commission = {(100,000 - 30,000)+(100,000 - 50,000)}*10% = 12,000
As I was also responsible for the bad debts of the branch (and had Rs. 300,000/- over 10 years) and paid for it, I am inclined to take the second interpretation.
Please provide clarity regarding the same and also if I can claim any interest on the same.
Thanks in Advance.
CAclubindia
