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partners wages being drastically reduced

My partner has just been told that he is going to have to take a pay cut as the company he works for are really struggling or end up loosing his job. they want to cut his pay to £110 a week. we have 3 children. He was getting £300 a week so this is a real drastic drop for us and i'm not sure what we are going to do. We currently claim child tax credit getting approx £135 a week. We do not get working tax credit. We have worked out his wage for this year is going to be a total of 11,000. We are in rented accomodation so think we may be able to possibly get some help with rent although i'm not sure as 11,000 is not as low as some earn i know. would be entitled to any help on that wage. thanks

Comments

  • jdturk
    jdturk Posts: 1,636 Forumite
    i very much doubt they can cut his wage to below minimum wage so are they cutting his hours to boot?
    Always ask ACAS
  • Hi,
    No they are not he will still be working full time. there are only 3 people in the company and they always try to help each other etc to keep the business afloat. my partner has invisted some money into the company so they cannot just up and go, they are giving it until April to see how things lie then before any decisions are made but in the mean time his wage has been drastically reduced and we are wondering how we are going to feed 3 kids for the next few months.
  • ceridwen
    ceridwen Posts: 11,547 Forumite
    10,000 Posts Combo Breaker
    Regardless of any investments he has made into the company - he is still entitled to at least receive National Minimum Wage.

    Whew - you certainly just made my eyebrows rise dramatically at the size of this proposed paycut - thats enormous!!!

    i think he needs to totally insist that he gets at least NMW - and remind them they are b****y lucky if they get away with paying him just that.

    He may well be better off saying "make me redundant now - and I want my investment back at a suitable time" - the writing looks to be (unfortunately) on the wall.

    Dont forget that redundancy pay is based on the salary received recently - think its based on the last 3 months pay???? You need to check that....could well be otherwise that he gets made redundant in April and his payout only got based on this tiny little salary they are proposing he gets now.......aaagh...
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