California Labor Law Requires That Employees Are Reimbursed for Mileage and More

San Dimas, CA: "Events at work escalated yesterday when my boss refused to reimburse me for mileage and other expenses," says Jannise, a commissioned sales rep with Specialty Apparel at Unifirst Corporation." If this isn't a California labor law case, I don't know what is."

Jannise says that refusing to pay her expenses is just one tactic her employers are using so that she will eventually quit and they won't have to pay unemployment benefits. She has also been dealing with harassment, including being accused of lying and cheating??"another violation of the California labor code??"for well over a year. "I can sell ice cubes to Eskimos but there isn't enough money to keep me here," she says.

A hostile work environment has taken its toll on her. "I meet their demands and gather documentation to prove I am not lying, but I still have to get my work done," says Jannise, who is on the verge of crying. "Now I work 60??"70 hours a week, including all the time it takes to defend myself. I can hardly think straight; I'm sick to my stomach and can't even eat or sleep properly.

"My bosses have been misappropriating my commissions by listing them under general sales and other names," adds Jannise. "Accounts that I brought in weren't even listed in my name. I eventually got that issue cleared up, but later found out that I am not alone and sales reps in the Northern California offices are getting ripped off. Not only are we not getting our credits due, it looks like we aren't doing anything, which has created an atmosphere of harassment and retaliation. I know that my bosses are trying to prove that I am lying on my reports, which I am not.

"I am paid a base salary and commission. This past year, after they got their hands out of my pockets, I went to 93 percent quota while the other reps in my office are about 10??"20 percent (110 percent gets you the President's Club). I brought the company new business from San Jose to San Diego. I am good but it doesn't matter??"I have a target on my back.

"I have worked here for three-and-a-half years and never has my expense report been sent back or denied, and my mileage was always covered. I turned in my mileage expense report and a dinner expense in September and they denied it: I drove to Palm Springs for new business but they said they didn't want business there (which was an about-face) and then they put me under investigation. They said I was lying.

"I believe they are using these tactics so I will eventually quit, because they have no grounds to fire me. Even though California is an "at will employment" state, I could apply for unemployment if they fired me but they don't want to pay for that."

Jannise is correct??"according to the California Labor Code §2802, California employers are required to reimburse their employees for expenses, including mileage expenses, incurred in the course of employment. This requirement also applies to commissioned sales reps. Commonly reimbursed business-related expenses incurred by sales persons include:

- training and seminar costs
- mileage
- cell phone expenses
- telephone charges
- postage and other office supply expenses
- advertising costs
- subscriptions
- business lunches
- costs associated with transaction errors; and
- costs to settle disputes with customers

If an employer fails to reimburse the employee, the employer may be held responsible for the employee's out-of-pocket costs plus interest from the date the employee incurred the expense as well as the employee's legal fees and costs to collect the un-reimbursed expenses. As for as the other allegations, Jannise may not have to deal with a hostile work environment for much longer??"she is currently looking for another job, and an attorney.