Not sure what to do

Mrsemmapage

So this is a rather tricky one, so I've been working for a small company since December, its got 3 pubs, a few days before Boris closed all the pubs, one of them had the electricity cut off due to non payment and tapping supply. Since then all staff have been unable to work and we were supposed to be paid on Friday, we were then told 31st, since then we have received an email to say that we need to agree to be furlonged and will be paid as soon as possible, however the owner has changed what he's been saying at different stages, one minute hes said he's entitled to grants, then not. Then he's setting up a gofundme page to raise money. On top of that, he has taken money from 2 employees on the provision that they would be shareholders, which they havent been registered as such and is also in a tonne of debts by borrowing from several different sources. We have all done some background work on this individual and found out he has several criminal convictions and has set up several companies before, all now dissolved, however was paying our wages previously from an account for one of these dissolved companies, we really aren't sure what to do, in his emails he's holding us to ransom on getting paid 80% if our salary which we arent sure we'll get or being made redundant. 

TELLIT01

If he has been tapping the power supply and bypassing the meters he's a crook pure and simple.  How much do you trust the word of somebody who has been proven to be untrustworthy?

epm-84

Employees who have shares in the business are not liable for the business' debts - the company's directors are.  

The government grant scheme is for businesses affected by COVID-19.  The fact that this business couldn't afford to pay it's electric bill before the government forced pubs to close, suggests the problems do not relate to COVID-19.

In the situation you describe I wonder if redundancy would be the best option.  At least if you're made redundant and get your redundancy payment you won't be in the situation where the company is declared insolvent and you are owed wages you won't get.

Mrsemmapage

epm-84 said:

Employees who have shares in the business are not liable for the business' debts - the company's directors are.  

The government grant scheme is for businesses affected by COVID-19.  The fact that this business couldn't afford to pay it's electric bill before the government forced pubs to close, suggests the problems do not relate to COVID-19.

In the situation you describe I wonder if redundancy would be the best option.  At least if you're made redundant and get your redundancy payment you won't be in the situation where the company is declared insolvent and you are owed wages you won't get.

The company has only been set up since October 2019 and i worked from December 19, so would not be entitled to any redundancy, neither would anyone else.

The ppl who gabe him money are not showing as shareholders and not signed anything, he's basically taken the money and not registered them as shareholder's 

robatwork

It sounds like this situation has smoked out a very dodgy corrupt company director. 
Obviously we only have your side of the story here but it sounds unlikely you're going to receive any more wages, and should possibly consider yourself unemployed and look to claim JSA or UC.

Dox

epm-84 said:

Employees who have shares in the business are not liable for the business' debts - the company's directors are.  

The government grant scheme is for businesses affected by COVID-19.  The fact that this business couldn't afford to pay it's electric bill before the government forced pubs to close, suggests the problems do not relate to COVID-19.

In the situation you describe I wonder if redundancy would be the best option.  At least if you're made redundant and get your redundancy payment you won't be in the situation where the company is declared insolvent and you are owed wages you won't get.

Unpaid wages are covered if the employer is insolvent: https://www.gov.uk/your-rights-if-your-employer-is-insolvent

epm-84

Dox said:

epm-84 said:

Employees who have shares in the business are not liable for the business' debts - the company's directors are.  

The government grant scheme is for businesses affected by COVID-19.  The fact that this business couldn't afford to pay it's electric bill before the government forced pubs to close, suggests the problems do not relate to COVID-19.

In the situation you describe I wonder if redundancy would be the best option.  At least if you're made redundant and get your redundancy payment you won't be in the situation where the company is declared insolvent and you are owed wages you won't get.

Unpaid wages are covered if the employer is insolvent: https://www.gov.uk/your-rights-if-your-employer-is-insolvent

Only up to a weekly limit of £525, which unless things have changed is divided by 7 and multiplied by the number of days you worked that week, so if you earn £500 a week and work 5 days you'll get £75 for each day worked, not £100.  Many people have applied to that scheme believing they would get their full pay for their final month, only to find that after up to 6 months of waiting they only get some of it.