Released from company, company not paying month in lieu

jon-jo

Dear Forum;

I was recently released from my employer (mutual agreement) and they agreed to pay a month in lieu.

The date (1 month from leave date) has now passed when this was due, and I am concerned that they will choose not to pay it.

I also know they have financial difficulties and have not paid their existing staff this month.

I've emailed them to ask when I will be paid, but I am wondering what other course of action I should be taking or looking into.

Thankyou in advance for any help provided.

JJ

sangie595

jon-jo wrote: »

Dear Forum;

I was recently released from my employer (mutual agreement) and they agreed to pay a month in lieu.

The date (1 month from leave date) has now passed when this was due, and I am concerned that they will choose not to pay it.

I also know they have financial difficulties and have not paid their existing staff this month.

I've emailed them to ask when I will be paid, but I am wondering what other course of action I should be taking or looking into.

Thankyou in advance for any help provided.

JJ

You can send them a letter before (legal) action, but realistically, from the sounds of it you may never now see the money. As a former employee you are not a priority debt - existing employees are. You are simply a normal creditor. If they haven't paid the staff, the chances are that they are going under, and unless there are assets remaining after any payments due to employees (which there probably won't be enough to even cover employees payments due) then you won't see anything. The government scheme for employees no longer includes your payments as a former employee.

Mersey_2

Yes, just send a Letter of Claim by post.


It's also breach of contract, so you could issue a County Court claim for the month's £ if you need to - but, hopefully, there's just been a delay.