No wages From Employer

fleetco

I've been working for my present company for just over a year and am weekly paid. Unfortunately, we haven't been paid last week's wages and this week's are doubtful too, according to our employer, he has cash flow difficulties.

We were told we were to be paid yesterday, but our wages never appeared. Like everyone, I have bills to pay, rent and council tax to pay and food to buy, none of which i can currently do.... Meanwhile, I have to keep working not knowing when or even if I'm going to get paid. Needless to say, I cannot carry on very long like this, after the end of this week I'll not even be able to afford the fuel to drive to work.

What legal remit do I have, and how would I stand in walking out on the company if this continues? We've never been supplied with contracts of employment.

The company concerned is a very small limited company which apparently has always had a reputation of living beyond it's means and has already been liquidated and started under a different name on a previous occasion.

Any thoughts would be very much appreciated.

macalacka

I'd firstly go to the person in charge and ask them why no wages have been paid. for not paying you when agreed they are in breach of the contract of employment the exists between the two of you. Best option after this is to contact Citizens Advice.

Lovelyjoolz

macalacka wrote: »

I'd firstly go to the person in charge and ask them why no wages have been paid. for not paying you when agreed they are in breach of the contract of employment the exists between the two of you. Best option after this is to contact Citizens Advice.

This will get you nowhere. Your employer knows already that they have breached the percieved contract that exists between you and if you think that saying this will magically make the money needed appear from nowhere, then you have a few screws loose.

If there are severe cashflow problems then there's nothing you personally can do to force him to pay you out of thin air. You have the choice of either walking and finding a new job (probably best to find the new job before walking in the present climate) or staying and hoping that a financial solution can be found by the company soon.

What you really need is to know what is going on. Many company owners are secretive about their finances and don't like to share info with their employees, and it sounds like your boss is the same. Only you can decide if its better for you to jump ship right now, but without knowing fully what the status of the business is, and when you are likely (if ever!) to get paid, it's a very difficult decision to make.

scooby088

There has been a breach of contract i.e you agree to work and employer agrees to pay you. I would be knocking down my employers door asking when or if i am likely to get paid. If wages aren't fourth coming i would be looking to leave asap.

Lovelyjoolz

scooby088 wrote: »

There has been a breach of contract i.e you agree to work and employer agrees to pay you. I would be knocking down my employers door asking when or if i am likely to get paid. If wages aren't fourth coming i would be looking to leave asap.

scooby, being out of work yourself right now, you know how difficult it is to find a new job.

If the OP stays, there is a chance he will get his pay at some point. If he leaves, he will probably get nothing.

By all means, have a look around for a new job, but don't walk out until you have somewhere else to go.

vax2002

Its normal practice in a company going bust to keep the workers working as long as possible and feed them jam tomorrow promises whilst the company raises enough to pay its tax bill, then it folds.
Look for another job might be a good start.

falko89

We had this problem for the last 6 months also paid weekly, wages delayed, missed, overtime not paid, stories etc, It really is a kick in the teeth when you work all week and are relying on your pay, Being paid weekly means you really do rely on the next pay cheque coming, Our company folded in January just after Xmas when we needed the pay the most, Still haven't received it and am going down the legal route now. Get out now, make getting out your number one priority.

Another tip, Keep an eye on http://www.cdrex.com/ for any suspicious happenings with the company, Our directors/assets etc bailed to a holding company in December, company closed the 1st working day in January.

scooby088

Lovelyjoolz wrote: »

scooby, being out of work yourself right now, you know how difficult it is to find a new job.

If the OP stays, there is a chance he will get his pay at some point. If he leaves, he will probably get nothing.

By all means, have a look around for a new job, but don't walk out until you have somewhere else to go.

Agreed it is hard to get a job, but I know from experience that not being paid can't keep going on..how long does OP need to keep working for nothing?? Promises don't pay the bills or put food on the table.

zzzLazyDaisy

A failure to pay wages due may be viewed as constructive dismissal, but first you would have to give the employer a fair opportunity to put things right. This means invoking the company's grievance procedure - which in all probability they don't have, in which case have a look on the acas website and follow the procedure set out there.

If you fail to do this your prospects of success reduce considerably. Unfortunately it does sound as if there is a possibility that the employer may cease trading before a tribunal hearing anyway, so there is no guarantee that you'd get your money even if you win.

fleetco

Thank you all for your comments.... it sort of backs up what I feel anyway... Already started job hunting, but it's not easy....

zzzLazyDaisy

Good luck! If you find another job and leave with wages still owing to you, come back to us.