Unpaid wages

Jimbug

Hi,

My employer has failed to pay any staff wages for over two months now.

I believe I can sue via Money Claim Online but it's £410!
I cannot believe the system penalises the victim? I'm owed over £5,000.

Even if I could borrow the £410, the risk is that the company has no money. Therefore, are there any free services that can be used to challenge the company about what I'm owed.

ACAS has drawn a blank.
CAB same. They said I need to sue for the money.

Any help very gratefully received!!

Guest101

You can claim back the £410 if you win.


Have you sent a letter before action?


Do you still work there?

Jimbug

Yes agreed but you have to have the £410 to lose if the company has no money.

Have sent a letter giving 7 days, which has expired.
Yes, still "employed".

Guest101

I mean are you still going into work?


You seem to be on a high wage, over £2.5k a month. If the company has no money your are working for nothing.


If you are still there, have you asked the director etc what is happening? Are your colleagues being paid?

Jimbug

Yes... all the obvious stuff done.

Asked managers. No facts, just "soon".
Asked directors. No promises, just vague suggestions of "things in the works".

Written formal letter demanding unpaid wages.

Yes, still officially working. However, the management have stopped caring what anyone is doing. No contact from them since May.

My guess is the company is insolvent and hoping for a miracle.

I would say that I have 2 claims:
- Unlawful withholding of wages.
- Improper redundancy - failure to consult, etc.

My problem is, that as the victim I'm already struggling financially, yet in order to proceed I have to pay?! How is that right? Seems like my only option is to wait and time is on the side of the company. So, I'm looking for anything that might help?

TBagpuss

Have you checked to see whether you qualiy for fee exemption / reduction?
https://www.gov.uk/get-help-with-court-fees

Jimbug

Thanks, and no I don't.

This is my point. "Technically" I earn good money. But in reality I earn nothing, right?

So, I've paid my taxes, supported my govt, now I need some help. But there's nothing for me.
Yet, if I had nothing, was contributing nothing, then I'm good to go.

The winners here are the employers. No support for me as an employee. The employer fails to pay me, removes my ability to pay court fees, and the only option open is 35-40% loss via no-win, no-fee.

Thanks for suggestions everyone.
I was hoping I'd missed something, but I think not.

Guest101

If the company becomes insolvent then the insolvency service will sort you out.


In the mean time I'd be hunting for a new job.

MEM62

I appreciate that it may be frustrating but it is fair that those that use the court system pay a fee for doing so. This also stops people from making vexatious claims - which would be a problem if the service was free.

As advised, start looking for another position. I might also consider whether I want to continue working for this employer free of charge - which, in effect, is the scenario you are in at the moment. I appreciate that is a tough choice as, if they do pull the company together, you may be able to recover your losses.

What are your prospects of securing alternative employment?

Mersey_2

I'd have another look at the exemption and remission appn form TBagpuss suggested.


You declare your actual income, ie I've known claimants successfully reclaim Court fees - or pay none - as you complete a declaration and could provide evidence eg bank statements if eg no income in the past month etc.


It's designed for people such as yourself.


The other option would of course, be to issue civil proceedings for a lower amount. Whilst not ideal claiming for eg one month's pay would cost less [if your fee exemption appn is refused] You can issue proceedings from as little as £25 (money claim online) or £35 in the County Court (if you need to attach docs such as emails which is always best)


I've known claimants owed eg 6 months pay who issued for one, obtained Judgment. This then resulted in all owed pay being paid by 2 firms and the month's pay being repaid in the case of the other (as that firm literally couldn't afford the 4 month's owed as they were almost insolvent - but at least they got a month's pay asap, which was more than the others in that firm, who had to wait for the Govt scheme)