Advice needed- employer is not paying me

miss.j_2

Hello,

I am a recent graduate experiencing unfair treatment by my first full time employer.

I was first offered a FT job under the agreement that I would work 2 months unpaid before being offered a contract, which I did. I now a 12 month contract and a monthly wage should be paid the after the month is completed on a fixed date.

The 1st month I worked, my wages did not arrive on time. After a week of pestering, I was paid my full months salary in cash my my employer. He took the amount I owe in tax and said he would insure it gets paid.

The 2nd month, my wages again did not arrive, it got to 2 weeks late when half the wage was transferred to me from a personal bank account. The other half arrived a month late as an automatic payment from a company account.

The 3rd months wage is now a week late, with no indication of when I will be paid.

Over the months, I have been constantly asking for my money, and I get a different excuse each time such as 'the bank account is being set up, 'we paid you from the old account by mistake and it bounced back' 'waiting for a card reader' 'waiting for advertisers to pay us'.... clearly all made up to by themselves more time, ultimately the company does not have the money to pay me...

I am also worried about the way I have been paid in cash and from different bank accounts, and that my tax hasn't been paid (Although i've been receiving the wages (late) less the tax amount)

I have asked for a payslip on a number of occasions, these have not been provided.

I also asked for a formal holiday form to apply for days off over christmas. This was not provided, instead I was told which days I could take (A total of 5 days incl. xmas and boxing day) unnegotiable even though my contract says I can apply for holiday 2 weeks in advance.

What can I do about this?

How can I get all the money I am owed?

If I hand my notice in, I am worried I will never get paid the money I am owed (another employee did this a few months ago and still has not been paid 2 months wages)

I really enjoy my job and was excited to get it right after graduating, however this treatment has lead me to want to leave as I have no job security and I do not feel respected, despite all my hard work and overtime which I am expected to carry out. I am constantly being lied to.

I am tempted to offer them an ultimatum to either have my money paid by the end of the week, or hand I will hand in my notice, but I think they will just tell me to leave and again, not pay me money which is owed.

This situation is horrible and I can't see it getting any better.

Any advice would be much appreciated!

PHILANTHROPIST

Sorry to hear about your tale of woe and frustration.

I would recommend that you simply call ACAS for guidance on 0300 123 1100. They are generally very good and will guide you through the correct steps. As things stand and accounting for the fact that you do get paid eventually you do not appear to have a legal claim per se, but they may recommend that you raise a formal grievance forthwith.

I'd also look for another employer, but that may well be far easier said than done.

HTH
Phil

PlutoinCapricorn

You are entitled to get payslips, showing the amounts deducted.

Murielson

Is your employer a small or large company? Sounds to me like they have cash flow problems and/or are avoiding tax and national insurance contributions.


ACAS recommendation is the way to go IMO as recommended above.

gettingtheresometime

miss.j wrote: »

Hello,

I am a recent graduate experiencing unfair treatment by my first full time employer.

I was first offered a FT job under the agreement that I would work 2 months unpaid before being offered a contract, which I did. I now a 12 month contract and a monthly wage should be paid the after the month is completed on a fixed date.

The 1st month I worked, my wages did not arrive on time. After a week of pestering, I was paid my full months salary in cash my my employer. He took the amount I owe in tax and said he would insure it gets paid.

The 2nd month, my wages again did not arrive, it got to 2 weeks late when half the wage was transferred to me from a personal bank account. The other half arrived a month late as an automatic payment from a company account.

The 3rd months wage is now a week late, with no indication of when I will be paid.

Over the months, I have been constantly asking for my money, and I get a different excuse each time such as 'the bank account is being set up, 'we paid you from the old account by mistake and it bounced back' 'waiting for a card reader' 'waiting for advertisers to pay us'.... clearly all made up to by themselves more time, ultimately the company does not have the money to pay me...

I am also worried about the way I have been paid in cash and from different bank accounts, and that my tax hasn't been paid (Although i've been receiving the wages (late) less the tax amount)

I have asked for a payslip on a number of occasions, these have not been provided.

I also asked for a formal holiday form to apply for days off over christmas. This was not provided, instead I was told which days I could take (A total of 5 days incl. xmas and boxing day) unnegotiable even though my contract says I can apply for holiday 2 weeks in advance.

What can I do about this?

How can I get all the money I am owed?

If I hand my notice in, I am worried I will never get paid the money I am owed (another employee did this a few months ago and still has not been paid 2 months wages)

I really enjoy my job and was excited to get it right after graduating, however this treatment has lead me to want to leave as I have no job security and I do not feel respected, despite all my hard work and overtime which I am expected to carry out. I am constantly being lied to.

I am tempted to offer them an ultimatum to either have my money paid by the end of the week, or hand I will hand in my notice, but I think they will just tell me to leave and again, not pay me money which is owed.

This situation is horrible and I can't see it getting any better.

Any advice would be much appreciated!

I think you're sweating the small stuff when it comes to issues such as being paid from a personal bank account or in cash.

However for me the important ones to focus on are the lateness of the salary itself and the lack of payslips.

As you say if the company hasn't got the cash (is it a relatively new company?) then you have two choices -you can either tolerate the lateness or start looking for a new job though I think that if you continue working for them even when they haven't paid you, its deemed that you have accepted, what is in effect, a change in your terms and conditions.

As for the lack of payslips what reason do they give? How do you now you're having the right deductions made? Have you got anything in writing that says they have deducted the tax & ni?

As for holidays employers can tell their staff when to take holiday and it may be that you haven't accrued enough holiday to take any discretionary holiday.

At the end of the day it may be better for you to find another job and then leave; if you just resign you may find yourself santioned and unable to claim benefits

SeduLOUs

Yep biggest concern is the lack of payslips. When he 'deducted' tax from the cash, how exactly did he calculate it?

Getting paid in cash isn't so bad if it comes with a payslip that clearly indicates gross pay and deductions, and the cash paid matches the net pay.

Realistically, I'd be pushing for the payslips for what I'd earned so far and then getting out of there ASAP. They are either very poor managers or simply don't have any money, neither of which is good for long term prospects.

miss.j_2

Thank you everyone for your replies...

I am as well very concerned about not getting payslips for what has been paid, as I read somewhere HMFC can demand I pay the tax again if theres no proof I have?

SeduLOUs- I'm not sure how they worked out how much tax to deduct- they just pay £1,400 when my monthly wage is £1,700- is this the correct amount?

Another new concern I have is that I need to provide the Student Loans company details of my employment to start paying back my debt- i'm worried declaring my 'income' to them could lead to some sort of investigation by HMRC if they don't have any record of me paying tax. (My suspicion is that my employer hasn't actually paid it)

Murielson- The company is very small made up of 2 directors, 2 full time staff, one part time, and the rest unpaid interns- 3 years old.

gettingtheresometime - They don't give a reason for lack of payslips, just saying that they will sort them out soon.

An no I have absolutely nothing in writing to say I have even received payment, let a lone whats been deducted etc.




I know it is probably time to get out while I can, it is just unbelieveable that an employer can offer you a job and then expect you to work for them knowing full well they they're not going to pay you, make no effort to warn you, and dodge your correspondence when asking where the money is. My biggest fear is that even if I leave I won't get my last months wage.

Its clear that they have P**d a lot of people off before! And there are others who just have not got paid. Guess taking the hit will be best in the long run...

Vectis

Go back to the beginning - why on earth did you agree to work 2 months unpaid? That should have got alarm bells ringing.

Find another job, pronto. Then, if you still haven't been paid what you are owed, chase them for the money (through the Courts if necessary).

If you let this run too long you might find the company folds and you are owed thousands. Get out as soon as you can.

SeduLOUs

miss.j wrote: »

SeduLOUs- I'm not sure how they worked out how much tax to deduct- they just pay £1,400 when my monthly wage is £1,700- is this the correct amount?

Alarm bells on overdrive.

If he'e deducted a clean £300 it's a total guess, and has not been calculated on any sort of payroll system.

Without running it though a payroll, he could not run the relevant reports to send to HMRC so it's pretty safe to assume he has NOT paid over any tax, NI, student loan for you.

What I would do:

1) Demand payslips and any outstanding wages within the next 7 days. If you get one and the net pay is higher/lower than £1400, adjust accordingly. Refuse to work until this is provided.

If it is provided, great, but I would still then

2) Leave as soon as possible.

It's important to have a job and I understand it's a difficult call, but you are working for jokers bordering on scam artists. Forget the holidays and other stuff for now, the important thing is to not give them any more of your free time.

If you feel inclined later on, you could write to them demanding payment of outstanding wages/holidays (although I doubt you'll get far without taking him to court) so I guess this all depends on how much you are owed. As previously advised, do not let this figure get any bigger - there's a big risk you'll never see it. If you do chase for any money, ask for full gross amounts, including return of the £300's that have been deducted, and state that you will make your own arrangements to resolve the tax issue.

It's pretty certain no tax etc has been paid over for you so phone HMRC and explain exactly what has happened. They will know what to advise and you won't get in any trouble if you are honest from the outset. You might cause them to investigate the employer, but that's karma. Don't worry about Student Loan, this is all collected via HMRC, so if you clear things up with them Student Loan Company won't be 'investigating' you.

gettingtheresometime

Can I just repeat my word of warning over just leaving without something else to go to.

OP you need to find out how this would sit with the Jobcentre as far as your entitlement to benefits is concerned; its all very well saying the reason you've left is because they paid you late/in cash/didn't provide payslips but when they write to your employers and they say that you left of your own accord without a valid reason, then whose word are they going to believe? Especially when it will save them 6 months worth of JSA to believe the employers.

SeduLOUs

gettingtheresometime wrote: »

Can I just repeat my word of warning over just leaving without something else to go to.

OP you need to find out how this would sit with the Jobcentre as far as your entitlement to benefits is concerned; its all very well saying the reason you've left is because they paid you late/in cash/didn't provide payslips but when they write to your employers and they say that you left of your own accord without a valid reason, then whose word are they going to believe? Especially when it will save them 6 months worth of JSA to believe the employers.

I understand what you are saying, but as it stands OP is risking working for NOTHING as there is no guarantee any further payment will be received at all. At least if JSA is delayed OP still gets nothing in pocket but is at home looking for work instead of working for this joke of a company...

On leaving, give the Jobcentre the copy of the letters you have written demanding payslips and a breakdown of your deductions, and keep a record of calls to HMRC etc. On leaving, give employer a letter explaining in detail why you cannot possibly work there anymore, keep copy.

There's a very good chance you'll find work elsewhere. I wouldn't risk working another day for these scam artists in an attempt to protect my rights to JSA - it's peanuts compared to the amount you are losing if your employer continues to fail to pay you and then HMRC come after you for all the tax you've already handed over in cash with no proof.