Two more
Johnson Controls sales representatives in Michigan have filed lawsuits against the company, alleging thousands of dollars in backlogged payments they were due to be paid have essentially been stolen.
The lawsuits stem from the introduction of a new salesperson incentive plan that Johnson Controls unveiled last November. The new system allegedly eradicated a system of backlog payments due to employees under a previous version of the plan.
Under the company’s previous incentive plan, salespeople received a portion of their commission when a project was booked and the remainder of their commission as the project hit key milestones. This created a backlog of commission payments that ranged in size for each salesperson.
The new sales plan does away with that commission structure not only moving forward, but also on projects booked prior to Oct. 1, 2023 that had not reached required milestones. This means backlog payments will not be paid out.
Two previous lawsuits have already been filed in
U.S. District Court for the Eastern District of Wisconsin and in
Oakland County, Michigan.
The two new plaintiffs are Gary Hajdyla, a resident of Livingston County, Michigan, and Justin Tomei, a resident of Macomb County, Michigan. Both lawsuits were filed in Oakland County, Michigan.
Tomei sells security systems to commercial enterprises for Johnson Controls. He’s been with the company for over five years and currently works at the Madison Heights, Michigan branch. Tomei booked “millions of dollars in sales in 2023,” according to his lawsuit. He alleges Johnson Controls still owes him $56,009 for projects and equipment he booked while the 2023 sales plan was still in effect.
Hajdyla also sells security systems for Johnson Controls and has been with the company for over 44 years. He is part of the Madison Heights branch. Hajdyla’s lawsuit alleges he is owed $44,579 for projects and equipment booked under the 2023 sales plan.
“The success of our organization is directly tied to the success of our people, and we routinely assess our practices to best support their growth and achievements,” said Johnson Controls in a previously issued statement. “We modified our sales incentive program to better align with our company strategy to deliver smart, healthy and more sustainable environments for our customers. We will continue to assist our sales organization to ensure a seamless transition to our revised competitive model.”
