Exclude Commission & Incentive-based Pay from National Minimum Wage Calculations

Exclude Commission & Incentive-based Pay from National Minimum Wage Calculations — 33 signatures. Status: open.

Petition background

Change the law so base salary alone meets National Minimum Wage. Employers now can pay a base wage below the legal rate using earned commission to top up the difference. Staff often feel they have to work more just to reach the legal baseline rather than commission serving as a reward on top of it.

Additional details

Amend regulations so commission is excluded from minimum wage calculations. Some employers legally pay base wages below the legal rate, using commission to cover the shortfall. Some employers claim that this serves to motivate staff, but it can feel like exploitation. If a worker cannot fill the gap with commission, the extra effort deployed yields zero reward since the boss must top up the amount of pay anyway. We feel this destroys motivation as commission should be a reward on top of a guaranteed baseline, not a subsidy for employers.

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