Witholding company property waiting final salary

tina6587

My company is in financial difficulty with no cash flow.

I have been employed since 9th August 2010. On 5th August 2010, I was given a letter stating I was being made redundant with one weeks notice due to the financial situation. I amm the 7th in the past 7 days.

I have a Company car, owned by company not on lease 6th August, but I stated I would keep until end of notice.

I should have been paid on 29th July, but due to no cash was eventually paid on 4th August, but did not receive my expenses, I incurred bank charges that they could not guarantee being paid.

I have had no other communication from them. Can I:

a) Keep car until all payments received in light of their financial situation
b) Claim bank charges for late salary payment

Any advice would be great

Jarndyce

a) No and b) No - if they have already said no.

In fact you could be charged with theft if you do not return the car.

You can claim any outstanding pay and/or expenses from them in court or Tribunal.

How much are you owed?

tina6587

I will be expecting £2500 approx. including oustanding salary holidays and expenses.

If I took to ET, would I be covered as my 1st anniversary occurred under notice? Would I be able to claim charges as they are in breach od contract with not paying me on required ate?

A director had to pay me out of his own account

Jarndyce

tina6587 wrote: »

I will be expecting £2500 approx. including oustanding salary holidays and expenses.

If I took to ET, would I be covered as my 1st anniversary occurred under notice? Would I be able to claim charges as they are in breach od contract with not paying me on required ate?

A director had to pay me out of his own account

You do not need 12 months service for an unlawful deductions claim.

I don't believe there is any way you can claim the bank charges, sorry.

tina6587

Thank you for your help. Much appreciated:j:j

eamon

To the OP. Your (ex) employer is broke so there is little point in suing them via an ET. Expect to have contact made to you by liquidators/administrators/receivers re the car. You need a legal expert to advise on how high up the list your unpaid wages & expenses appear in the things to be paid from the remaining assets of you employer. I can't remember if wages/salary owing takes precedent over other creditors or not.
In the meantime you have no legal title to the car but you have a responsibilty to take reasonable care of it. I would assume that the insurance has also lapsed. Therefore make sure the vehicle is parked up somewhere safe and don't drive it anymore. Also make contact with your (ex) employer and find out rather than asking the possible bad advice of random forum readers.

Jarndyce

eamon wrote: »

To the OP. Your (ex) employer is broke so there is little point in suing them via an ET. Expect to have contact made to you by liquidators/administrators/receivers re the car. You need a legal expert to advise on how high up the list your unpaid wages & expenses appear in the things to be paid from the remaining assets of you employer. I can't remember if wages/salary owing takes precedent over other creditors or not.
In the meantime you have no legal title to the car but you have a responsibilty to take reasonable care of it. I would assume that the insurance has also lapsed. Therefore make sure the vehicle is parked up somewhere safe and don't drive it anymore. Also make contact with your (ex) employer and find out rather than asking the possible bad advice of random forum readers.

:mad::mad::mad::mad::mad:

Unpaid wages are the priority if the employer has gone bust, but it hasn't as yet.

And what pray makes your expert advice any more reliable??

eamon

I didn't imply that my advice was expert. Perhaps my last comment was uncalled for or could have been phrased better. The OP still should ask his (ex) employer, who knows what they will say do!

SarEl

In my inexpert opinion as a random poster and barrister, Jarndyce is absolutely correct. By the way - theer actually is a good reason to sue a broke employer via a tribunal in the right circumstances - because in some cases the government fund steps in to pay at least some of the award. In this case it wouldn't help because Jarndyce is correct - employees are preferential creditors, and any failure to pay would be picked up by the RPS within thier limitations - but you didn't know that did you?

eamon

This appears to have been my day for upsetting people (also happened in my real life as well). I think I'd better apologise now, sorry!
Hope tomorrow is better.