IBM to Pay $4.8 Million to End California Sales Commission Suit

IBM will pay nearly $4.8 million to settle a class lawsuit alleging it violated California law by not providing more than 1,500 sales employees with written contracts explaining how their commissions would be computed and paid, and capping the commissions of 60 sales representatives and managers, federal court records show.

International Business Machines Corp. and two employees who brought separate lawsuits challenging the company’s practices filed a motion Tuesday asking the US District Court for the Northern District of California to preliminarily approve the settlement. All 1,500 or so sales workers will receive about $300 each, a memorandum of law ...