Crappy situation at work, advice requested

dugweb

Diamond Member
Oct 17, 2002
3,935
1
81
I'll try to keep it short and to the point.

I work for a summer sales company. One where they form teams or offices to go to various cities across the country to sell security systems door-to-door. I'm a technician and install said system when it's sold. We are contracted to work a summer, where we get a certain amount payed up front, and a certain amount on a back-end check. It's a significant amount on the back-end, but it's forfeited if you quit or get fired.


Our office of about 8 sales reps, and 3 technicians lives in Louisville KY, where we have done most of our work through the summer, until recently. For the past 3 weeks I have been commuting daily (6-day work week, no set hours) to Cincinnati. It's about an 1.75 hour drive going 74 (the speed limit is 70). The plan is to keep doing that for the rest of the summer selling season (about 1.5 more months)

Obviously it costs more to install a security system in Cincinnati than it does in Louisville (time, gas, etc.). Herein lies my problem. The brunt of the cost is falling on me, and my other technician (the 3rd tech is the 'lead tech' and is "so tied up with paper work" in louisville he's unable to make it to Cinci except about 3 times a week :\

The only thing my contract says about "area" is:

1. Appointment of Independent Contractor. The Company hereby agrees to hire Independent Contractor as a Technician in such geographic area ("Area") as the Company may determine from August 31, 2006 through September 6, 2007, to install home and commercial security systems offered by the Company.


I know that's a terribly vague, and broad definition of an area. But here's the thing. About a month ago the corporate office was looking into moving our office to cincinnati. That includes canceling the leases for our apartments and fronting the cost to move everyone and their stuff up there. It was ultimately decided that they would hold off until next year, when they would start an office up there from the beginning. To me, that sounds like they have defined what they believe is a new "Area", but they are having us work in it anyways.

I've told my lead tech I'm pissed about spending 4 hours a day in the car commuting to and from home, I'm pissed about not getting reimbursed for gas, I'm pissed at my company for not recognizing why I'm pissed and thinking that I would (should?) be okay with this.

I told my manager I wanted to talk to him about it, he couldn't talk over the phone b/c I wasn't on his cell phone plan so he would go over minutes :)frown: ) and he would call me to meet in the morning. That was this morning, he never called. I'm ready to tell them I'm not going back up there until I see some compensation. Am I dreaming?

Cliffs:
1. 4 hour daily commute
2. I'm pissed
3. Do I have to put up with this in order to get my back-end check or has my company violated their contract and am I entitled to compensation.



p.s. I know that this job is sleazy, no one likes door-to-door sales, it's just a summer job... it hasn't been the greatest experience. Thanks for reading/advice


 

amdskip

Lifer
Jan 6, 2001
22,530
13
81
Heck yes I would be upset too. Why don't they get some housing there for everyone? I would think that it would be cheaper.
 

OdiN

Banned
Mar 1, 2000
16,430
3
0
Well I would definitely try to get some sort of compensation.

Is there anything that said Louisville was your "Area"?
 

Greenman

Lifer
Oct 15, 1999
21,459
5,936
136
Why on earth would you work for a company that doesn't have to pay you if you get fired or quit? Sounds like a scam to me. I'd be willing to bet you get the ax in your last week anyway.
 

BoomerD

No Lifer
Feb 26, 2006
65,238
13,504
146
It seems like the alarm sales/install companies are not much better than the magazine sales teams that roam the country. Both alarm systems we've had installed were sold and installed by groups like the ones the OP works for/with. No complaints about the service (both were nationwide companies) nor about the sales or install, but it sure seems like these companies rape their employees...and oddly enough, (or maybe not...) the companies were all from Utah...and so were the crews.
 

Idontcare

Elite Member
Oct 10, 1999
21,110
59
91
Originally posted by: dugweb

The only thing my contract says about "area" is:

1. Appointment of Independent Contractor. The Company hereby agrees to hire Independent Contractor as a Technician in such geographic area ("Area") as the Company may determine from August 31, 2006 through September 6, 2007, to install home and commercial security systems offered by the Company.

I think you might have glossed over the important part in that clause - it has nothing to do with "Area" and everything to do with you being considered to be an "Independent Contractor".

Independent Contractors get zero worker's protection or rights, it effectively means you are in the business for yourself.

Typically it also means you are technically self-employed, meaning that whomever is giving you your paycheck is not paying Uncle Sam the other 50% of social security and medicare benefits that the government makes all employers pay.

Meaning you are likely on the hook (as a self-employed independent contractor) to pay this money to Uncle Sam come next Apr 15.

I know because I worked as an Independent Contractor for about 2 months, albeit in the semiconductor industry. Same rules apply though, there is a VERY good reason your "employer" has elected to label you as an Independent Contractor and it is most certainly NOT in your finanicial favor.
 

SoulAssassin

Diamond Member
Feb 1, 2001
6,135
2
0
IANA Tax Advisor but...

You may be able to write off the mileage and other expenses as "uncompensated work expenses" if they exceed a certain % of your income (1.5% IIRC but please don't quote me on that). It's not the answer to your problems but at least if you can get 25% back it's something postive. Keep detailed records of your expenses.
 

sao123

Lifer
May 27, 2002
12,653
205
106
Originally posted by: dugweb
I'll try to keep it short and to the point.

I work for a summer sales company. One where they form teams or offices to go to various cities across the country to sell security systems door-to-door. I'm a technician and install said system when it's sold. We are contracted to work a summer, where we get a certain amount payed up front, and a certain amount on a back-end check. It's a significant amount on the back-end, but it's forfeited if you quit or get fired.


Our office of about 8 sales reps, and 3 technicians lives in Louisville KY, where we have done most of our work through the summer, until recently. For the past 3 weeks I have been commuting daily (6-day work week, no set hours) to Cincinnati. It's about an 1.75 hour drive going 74 (the speed limit is 70). The plan is to keep doing that for the rest of the summer selling season (about 1.5 more months)

Obviously it costs more to install a security system in Cincinnati than it does in Louisville (time, gas, etc.). Herein lies my problem. The brunt of the cost is falling on me, and my other technician (the 3rd tech is the 'lead tech' and is "so tied up with paper work" in louisville he's unable to make it to Cinci except about 3 times a week :\

The only thing my contract says about "area" is:

1. Appointment of Independent Contractor. The Company hereby agrees to hire Independent Contractor as a Technician in such geographic area ("Area") as the Company may determine from August 31, 2006 through September 6, 2007, to install home and commercial security systems offered by the Company.


I know that's a terribly vague, and broad definition of an area. But here's the thing. About a month ago the corporate office was looking into moving our office to cincinnati. That includes canceling the leases for our apartments and fronting the cost to move everyone and their stuff up there. It was ultimately decided that they would hold off until next year, when they would start an office up there from the beginning. To me, that sounds like they have defined what they believe is a new "Area", but they are having us work in it anyways.

I've told my lead tech I'm pissed about spending 4 hours a day in the car commuting to and from home, I'm pissed about not getting reimbursed for gas, I'm pissed at my company for not recognizing why I'm pissed and thinking that I would (should?) be okay with this.

I told my manager I wanted to talk to him about it, he couldn't talk over the phone b/c I wasn't on his cell phone plan so he would go over minutes :)frown: ) and he would call me to meet in the morning. That was this morning, he never called. I'm ready to tell them I'm not going back up there until I see some compensation. Am I dreaming?

Cliffs:
1. 4 hour daily commute
2. I'm pissed
3. Do I have to put up with this in order to get my back-end check or has my company violated their contract and am I entitled to compensation.



p.s. I know that this job is sleazy, no one likes door-to-door sales, it's just a summer job... it hasn't been the greatest experience. Thanks for reading/advice


Get a hotel in cincinatti for 6 days a week, then claim your mileage and hotels as un-reimbursed work expenses on your taxes...
 

waggy

No Lifer
Dec 14, 2000
68,143
10
81
Originally posted by: Greenman
Why on earth would you work for a company that doesn't have to pay you if you get fired or quit? Sounds like a scam to me. I'd be willing to bet you get the ax in your last week anyway.

i don't think something like that is legal.
 

jdini76

Platinum Member
Mar 16, 2001
2,468
0
0
As an independant contractor, I assume they do not take taxes out for you. If this is the case, then you will have to pay your own income tax at the end of the year. Which also mean you can claim more things as an expense than if you were an employee somewhere.

You can claim anything related to you vehical as an expense. Gas, Car payments, insurance. maintenance, Tolls. etc.

Also you can claim work clothing, tools, and meals as long as they are work related.

 

Injury

Lifer
Jul 19, 2004
13,066
2
81
Sounds to me like the snippet you posted of the contract says that the company defines the area you work in. It does NOT sound like the company must make this area reasonably close or within a certain limit.

Follow the advice of jdini76 and previous posters; Keep track of EVERY SINGLE PENNY you spend in order to do your job. ALL supplies, gas, mileage, food expenses, hotel expenses... save each and every receipt.

Your BEST bet is to ask for a consultation from a tax agency such as H+R Block, or similar agency. It may cost you a few bucks to have some time with them, but in my experiences every penny spent on a tax agency has been a great investment for me.

If you are feeling a financial strain you might ask your boss or your contact to pay a small portion of the money now, but they have no obligation to.

Originally posted by: Greenman
Why on earth would you work for a company that doesn't have to pay you if you get fired or quit? Sounds like a scam to me. I'd be willing to bet you get the ax in your last week anyway.

That's how contract work goes. It would be illegal to fire him AT ALL unless he's in breech of contract. Even then, compensation for the portion of work done would be required. I'm sure the finer details are all laid out in the contract, but usually it's set up so the first portion will cover all expenses and then some for the duration of the contract, and the second, or any subsequent pay-outs, is profit for completion of certain milestones.
 

Greenman

Lifer
Oct 15, 1999
21,459
5,936
136
Originally posted by: waggy
Originally posted by: Greenman
Why on earth would you work for a company that doesn't have to pay you if you get fired or quit? Sounds like a scam to me. I'd be willing to bet you get the ax in your last week anyway.

i don't think something like that is legal.

Legal or not, I'll bet it's common.
 

Xavier434

Lifer
Oct 14, 2002
10,373
1
0
No offense and I know this doesn't help your situation, but you screwed up when you took that job and signed that contract. The back end pay thing is enough for any sensible person to turn their head and walk away unless that amount is ridiculously high. I say that you tactfully request compensation for the gas and mileage, finish your contract, and get the hell out of there.
 

dugweb

Diamond Member
Oct 17, 2002
3,935
1
81
Thanks for the advice, it has been really helpful.

This morning I spoke with my lead tech about it. I basically told him I'm prepared to drive home tomorrow morning unless I see some confirmation of reimbursement. He called the regional manager and had it on speaker phone and spoke about the problem while I listened in. It sounds like they will up my pay and compensate me for my gas, but I'm waiting to hear back later this afternoon exactly what that will be.

And yes, I have been keeping very good records on my expenses and plan on having a professional do my taxes this year.

I plan to stay far away from this company as soon as my contract is up, I don't need much convincing in that department ;)