Quizzes & Puzzles1 min ago
No wages
5 Answers
I work 40 hours a week for a small company and due to cashflow trouble caused by the bank cutting the firms overdraft,bad creditors etc.haven't been paid since the 1st of June
We have been told we can't expect any pay until at least September so that will mean at least 3 months without any income.
There is next to no work available at the moment so I can't risk packing my job up and looking elsewhere,also if the company goes belly up I would lose any redundancy I could be entitled to if I walk away.
Is there any help I can get financially as I have a mortgage etc and am also a single parent.
I have literally run out of money and don't really want to put more on the credit cards.
Thanks for any advice.
I'm off to bed now,got to get up in the morning!
We have been told we can't expect any pay until at least September so that will mean at least 3 months without any income.
There is next to no work available at the moment so I can't risk packing my job up and looking elsewhere,also if the company goes belly up I would lose any redundancy I could be entitled to if I walk away.
Is there any help I can get financially as I have a mortgage etc and am also a single parent.
I have literally run out of money and don't really want to put more on the credit cards.
Thanks for any advice.
I'm off to bed now,got to get up in the morning!
Answers
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Your employer is, of course, technically in breach of the contract between you and it, but your best course of action will depend on many factors.
I suggest you look here in the first instance and work out what situation applies to you.
http://www.direct.gov.uk/en/Employment/Employe es/Pay/DG_10026695
On that page you will find a link to another page about temporary lay off and I suggest you look there as well.
If there are no clauses in your contract of employment about lay-off arrangements or none are known to apply generally to the whole of your industry sector, then none apply. I think you would know if such arrangements applied in your case so there probably none.
If the company went belly-up, you would not lose your right to statutory redundancy - you would merely claim it from the Government. However you need to factor this against not being paid for the next 3 months. Personally I think the employer is making ridiculous demands and the company should be pushed into insolvency. If the company went belly-up in September, whilst you and other employees owed wages would be top of the list of creditors, you cannot guarantee that you would get your back-pay - I do not believe that the Government redundancy fund would pay your back-pay - only your statutory redundancy.
So you need to factor of of that against your 'expectation' of bigger contractual redundancy payments that you seem to think you are hanging on for - plus the thought that things might turn around.
Personally I'd be out there looking for another job at the same time (which you are maybe doing).
I suggest you look here in the first instance and work out what situation applies to you.
http://www.direct.gov.uk/en/Employment/Employe es/Pay/DG_10026695
On that page you will find a link to another page about temporary lay off and I suggest you look there as well.
If there are no clauses in your contract of employment about lay-off arrangements or none are known to apply generally to the whole of your industry sector, then none apply. I think you would know if such arrangements applied in your case so there probably none.
If the company went belly-up, you would not lose your right to statutory redundancy - you would merely claim it from the Government. However you need to factor this against not being paid for the next 3 months. Personally I think the employer is making ridiculous demands and the company should be pushed into insolvency. If the company went belly-up in September, whilst you and other employees owed wages would be top of the list of creditors, you cannot guarantee that you would get your back-pay - I do not believe that the Government redundancy fund would pay your back-pay - only your statutory redundancy.
So you need to factor of of that against your 'expectation' of bigger contractual redundancy payments that you seem to think you are hanging on for - plus the thought that things might turn around.
Personally I'd be out there looking for another job at the same time (which you are maybe doing).
You are still entitled to be paid for your work done even if you walk out. Make sure you have all your hours agreed etc.When the company goes bankcrupt you'll get money from the insolvency crowd. My daughter was owed over a thousand from a company she worked for and we struggled for 3 months filling in forms and chasing people until we got it.She had left in a similar situation to yours. I feel very sorry for any foreigners going through the same thing,as it was very difficult understanding the legalities and I should imagine these companies and the govenment bodies get away with a lot!
Thanks for your answers .
I have an appointment at the job centre tomorrow to discuss my situation.
Have spoke to the management but they cannot pay any money at all in wages for at least 2 months and are determined to "work their way out of it".
They argue that if we stick at it we will have a job but if we pack it in none of us will.
Doesn't help pay the cost of living though does it?
Thanks again.
I have an appointment at the job centre tomorrow to discuss my situation.
Have spoke to the management but they cannot pay any money at all in wages for at least 2 months and are determined to "work their way out of it".
They argue that if we stick at it we will have a job but if we pack it in none of us will.
Doesn't help pay the cost of living though does it?
Thanks again.
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