Working but not getting paid

Bailey73

My wife started a new job in the 3rd week of November 2010.. Everything was ok, she was paid on time in Nov and Dec but since then the company she works for has been unable to pay anyone on time.

The company have been paying everyone in drips and drabs of a few hundred here and a few hundred there and telling them they will make another payment in a weeks time etc, unfortunately they have failed several times to make these payments.

The staff have been told that they will get the balance of Februarys pay in April but that doesn't cover the salary they are due in March.

I have been working some 12hr days without a day off to try and keep extra money coming in to cover our shortfall but there is only so much I can do as my job is very physical and by the end of the day I am completely exhausted.

My wife is looking for employment elsewhere but obviously cannot leave her job to claim job seekers allowance or any other benefit so is she is stuck in a job, working with the hope that they will eventually pay everyone.

My wife did find out that in Nov and Dec when she was paid some of the other staff were not paid as the funds were not available.

I personally feel that this Company knew even before they offered my wife the job that they were in financial difficulties but still offered it to her anyway.. My wife left a job to accept this one as it was career progression and now regrets it.

Is there any action we can take against this company?

Can anyone please offer any suggestions or advise as to what she can do?

Thanks in advance

Hammyman

They are in breach of contract by not paying when they should and in theory you could take them to court for costs that occur because of that such as bank charges however that is going to cost you money to do.

Wife is currently in a similar situation although only 4 weeks however she's been there 12 years and its a small family company who are owed a five figure amount by a few holiday parks so she is fully aware of the situation unlike your wife.

HappyMJ

It's a court claim I'm afraid. You are taking the risk that the company is insolvent and you won't get anything back though.

You can leave to claim JSA as the company are in breach of contract and that is a valid reason to leave a job. Does she have enough contributions to get contributions based JSA?

Russe11

I'd ask the employer to put the reason in writing why they can keep to the agreed contract terms, then go to sign on and look for a new job.

Just leaving and signing on will cause delays with the job centre, other thing to bear in mind is if you claim working tax credits then the run on for a month will count as income as will things like holiday entitlement from previous employement.