Salespeople in Virginia are in trouble. Due to a recent Virginia Supreme Court decision, sales commissions in Virginia are no longer considered wages under the Virginia Wage Payment Act.
The decision is a jolt to any salesperson with a commission plan that falls under Virginia law, as it removes the primary means of full recovery, and it ends substantial employer penalties for withholding earned but unpaid commissions.
The decision rips the teeth from the statute that used to protect salespeople. Employers now can recklessly cheat salespeople out of their sales commissions. In order to collect unpaid commissions, salespeople will have an expensive uphill battle for their stolen commissions.
Hope is on the Horizon…But You Must Act
The Virginia General Assembly resumes their 2026 session on January 14, 2026, and is expected to consider a bill that would explicitly classify sales commissions as wages once again. Importantly, the legislation would need to retroactively cover sales commission plans executed prior to any approval by incoming Governor Abigail Spanberger, in order for any salesperson with claims predating a new law to enjoy its protections.
Take Action Now
Now is the time to contact your delegates in the Virginia Assembly.
Read your compensation plan and look at your territory. If your sales commission plan references Virginia as the governing law, or your territory includes Virginia, then answering this call to action is vital.
Tell the Virginia Assembly that sales commissions are your wages and that they must be protected now, tomorrow, and importantly, retroactively.
Potomac Legal Group will soon be providing sample letters, information pieces, and social media posts to explain to lawmakers how important a sales commissions protection bill is to protect the livelihood of every salesperson.
What Will the Sales Commissions Bill Look Like?
The Virginia Assembly, in 2025, passed a wage protection bill, HB2561. While the bill did not specifically address sales commissions, it did introduce and strengthen numerous wage protections, including extending the wage claim period, increasing damages, and awarding liquidated damages, interest, and fee shifting.
The bill was vetoed.
Virginia Senate Majority Leader Scott Surovell, who represents the 34th District in Fairfax, was a champion of the 2025 bill and is continuing the fight for new legislation to address the deficiency under existing wage theft laws.
This is not a slam dunk. While the political climate is favorable for passing a wage bill, the delegates have numerous competing priorities and budget issues to address.
Virginia’s salespeople must make the Assembly members hear you loud and clear. Your sales commissions are on life support.
Sales commissions, with retroactive coverage, must be defined as wages in any wage bill or standalone legislation.
Start calling, writing and advocating for yourself now.
How Did We Get Here?
On December 30, 2025, the Supreme Court of Virginia issued a ruling in Groundworks Operations, LLC v. Campbell, determining that sales commissions do not qualify as wages or salaries under the state’s primary wage theft statute. This interpretation relies on a strict reading of the law, noting that the legislature omitted the specific term “commissions” from the relevant code section.
Consequently, salespeople can no longer utilize the Virginia Wage Payment Act to recover unpaid commissions, effectively stripping them of the right to seek liquidated damages and attorney fees through this specific legal avenue.
Justice Steven McCullough writes in the ruling that whether or not commissions are considered wages under § 40.1-29 is up to the state legislators who wrote the statute. While the original case involved employees seeking earned commissions, the decision now forces a pivot toward urgent legislative reform to restore these protections for the workforce.
Taking Action
If you have a Virginia sales commission plan, then now is the time to act. The Virginia Assembly must hear your voice. What can you do?
- Share with Your Colleagues: Talk to your fellow salespeople and tell them why this is important to all of you. The number of salespeople in federal, state and private sector sales in Virginia is massive. You can move this legislation forward together if you act.
- Identify Your Legislator: Use the “Who’s My Legislator?” tool on the Virginia General Assembly website to find your specific Delegates and Senators, and call or email their office.
- Sign Up to Speak: Committees and subcommittees welcome public comment. You can sign up to testify via the House or Senate websites.
- Submit Testimony Remotely: If unable to travel to Richmond, you can provide input through online submissions or virtual testimony options to both the House and Senate.
Potomac Legal Group will soon be issuing a toolkit that includes sample constituent letters, call scripts, and social media posts for you to customize and use in contacting legislators and for sharing online. We will continue to provide updates on our website, platforms, and through our e-newsletter.
Don’t wait. The more Richmond hears from you, the greater hope everyone has for your state government to protect your livelihood.
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