StorageTek employee awarded US$12
StorageTek employee awarded US$12
A former employee of StorageTek has been awarded US$12 million in compensation by a Californian jury after taking the company to court for firing him and denying him over US$100,000 in sales commissions.
The ex account executive for StorageTek, Ted Marx, claims that company owed him the money at a time when it deliberately changed its written compensation plan to prevent him receiving the money.
US$9 million was awarded in punitive damages and $2.9 million was given for lost wages, commissions and emotional distress.
Marx says the district sales manager in downtown Los Angeles and the regional sales manager in Louisville threatened him with punishment after he complained internally about the new pay plan.
His sales territory and customer accounts were reduced after these threats were followed through.
Marx told the court that he was forced to resign after constant harassment, which he felt was malicious and oppressive.
By the time he left, Marx said that his sales territory and customer accounts were cut by an amount that represented 80 percent of his potential earnings.
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