Boss wont pay us on payday - wants to wait a week?

LadyMissA

They are in breach of the contract and who ever it was on here who said you should get an extention on the over draft maybe the company could do the same and just pay the staff

foxwales

Regardless of whether a contract exists in writing, the frequency of payment becomes a contractually binding implied term.

In other words, the employer, cannot make contractual changes unless specified in a written contract, or if verbal, agreed by both parties, employer and employee.

If your partner is being paid a week late and it causes you financial distress or difficulty, then the employer will be responsible for any charges incurred due to insufficient notice and contractual agreement.

Also, if your partner is being paid a week late, how is this weeks worth of unpaid work going to be made up within the financial year; as in effect your partner would have worked a 5 week period.

You partner has three options:

1) Speak to the employers and highlight the financial difficulty this will cause and negotiate either recompense or financial supplement to cover your financial liabilities until the actual pay date.

or

2) Put in writing to the employers that you reject the changes to the payment frequency as per implied terms of contract and either (a) raise a grievance, or (b) claim constructive dismissal under grounds of breach of contract and pursue through Employment Tribunal

or

3) Carry on working and be mindful that the company maybe in financial difficulty and that he is lucky to have a paid job during these difficult times

roe123

Ive been told that he doesnt want to pay them as many times before april - must be a tax scam?????????? So confused - but no legal advice will help as either way its too late!

LadyMissA

roe123 wrote: »

Ive been told that he doesnt want to pay them as many times before april - must be a tax scam?????????? So confused - but no legal advice will help as either way its too late!

Doesn't want to? They have to!!!

All the pay owed to them must be paid before the end of the tax year.. It sound like they have no money to pay the employers contribution at the end of the year.

roe123

He pays by day work so they on a fixed amount per day rather than hour or a set salary - by paying every four weeks has meant that two pay days fall in march - the 2nd and then the 30th and then another in April, however he doesnt want to do three payments - so this would appear to be a tax avoidance for this year - so that it rolls into next tax year - very cheeky as no one seems to be able to help

LadyMissA

roe123 wrote: »

He pays by day work so they on a fixed amount per day rather than hour or a set salary - by paying every four weeks has meant that two pay days fall in march - the 2nd and then the 30th and then another in April, however he doesnt want to do three payments - so this would appear to be a tax avoidance for this year - so that it rolls into next tax year - very cheeky as no one seems to be able to help

ask why he doesnt? The last payment will be in the next tax year and will distort the employees earning for 2012/2013 tax year and they will pay more tax and ni

I will call your tax office and ask them also

Lovelyjoolz

LadyMissA wrote: »

Doesn't want to? They have to!!!

All the pay owed to them must be paid before the end of the tax year.. It sound like they have no money to pay the employers contribution at the end of the year.

What are you talking about??? Complete rubbish.

roe123 wrote: »

He pays by day work so they on a fixed amount per day rather than hour or a set salary - by paying every four weeks has meant that two pay days fall in march - the 2nd and then the 30th and then another in April, however he doesnt want to do three payments - so this would appear to be a tax avoidance for this year - so that it rolls into next tax year - very cheeky as no one seems to be able to help

Tax avoidance? No. It isn't.

LadyMissA wrote: »

ask why he doesnt? The last payment will be in the next tax year and will distort the employees earning for 2012/2013 tax year and they will pay more tax and ni

I will call your tax office and ask them also

Again, rubbish. Nothing is distorted, you clearly know nothing about how the PAYE system works.

OP -

There's little point scrabbling around for a legal reason why he can't do this - he obviously is going to do it regardless of what his employees think, and you are just wasting energy and in danger of costing yourself money if you try to fight it.

He clearly wants to defer the 2nd of April payment to after the start of the next tax year. There could be any number of reasons for him wanting to do this. What he hasn't said is that he won't be paying the staff, he'll just be paying them 7 days later than usual.

Yes, it will cause you an inconvenience, but he has given you enough notice for action to be taken to avoid charges. He will probably use this as justification to refuse to pay any charges incurred. Because of this, I strongly advise you to do everything you can to avoid late charges. If you explain exactly what's happening, your bank will probably grant you a temporary overdraft just to cover you this month. Ask them as soon as possible.

On the plus side, being paid on the 9th April means that your next pay will be subject to the increased PTA, so you'll probably be a few quid better off.

LadyMissA

Lovelyjoolz wrote: »

What are you talking about??? Complete rubbish.



Tax avoidance? No. It isn't.



Again, rubbish. Nothing is distorted, you clearly know nothing about how the PAYE system works.

OP -

There's little point scrabbling around for a legal reason why he can't do this - he obviously is going to do it regardless of what his employees think, and you are just wasting energy and in danger of costing yourself money if you try to fight it.

He clearly wants to defer the 2nd of April payment to after the start of the next tax year. There could be any number of reasons for him wanting to do this. What he hasn't said is that he won't be paying the staff, he'll just be paying them 7 days later than usual.

Yes, it will cause you an inconvenience, but he has given you enough notice for action to be taken to avoid charges. He will probably use this as justification to refuse to pay any charges incurred. Because of this, I strongly advise you to do everything you can to avoid late charges. If you explain exactly what's happening, your bank will probably grant you a temporary overdraft just to cover you this month. Ask them as soon as possible.

On the plus side, being paid on the 9th April means that your next pay will be subject to the increased PTA, so you'll probably be a few quid better off.

well sorry if I got that wrong there as I was under the impression it would effect your P60 and stuff

Anyway I would not let a company pay me late as I have no overdraft and would have no way of getting to work for the week if they didnt pay me and all the bills would bounce on a Basic bank account.

roe123

That's just it - we have no overdraft - never wanted that debt - have just a basic bank account that charges £8 each bounced payment and although some DD can be changed - we have things that cant - finance things that are due to be paid and car insurance that wont adjust their date - we have asked - so we are stuck then! I too thought it would affect P60 also as a whole 4 weeks pay would be missing off it and paid onto next years? If that is the case then could it have a knock on effect with tax credits etc?

LadyMissA

roe123 wrote: »

That's just it - we have no overdraft - never wanted that debt - have just a basic bank account that charges £8 each bounced payment and although some DD can be changed - we have things that cant - finance things that are due to be paid and car insurance that wont adjust their date - we have asked - so we are stuck then! I too thought it would affect P60 also as a whole 4 weeks pay would be missing off it and paid onto next years? If that is the case then could it have a knock on effect with tax credits etc?

you are a bit screwed then as you can not have an over draft on a basic bank account and I only got mine as I used to have my salary paid into my savings acct at Abbey National and salary would sometimes not show up till later than day and was never there at 9am etc. Anyway couldnt get a current account as many years ago I was £20 overdrawn with NO overdraft and a certian big bank closed my account so the Basic acct was the only one I could get, no over draft and no debit card, no chq book just an ATM card and I think mine is £8-£12 if a DD or standing order bounces. Plus that also makes your credit rating look bad as the bill then is not paid.