"A friend of a friend"
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lingus75

Original Poster:

1,705 posts

252 months

Tuesday 14th October 2008
quotequote all
Was recently made redundant along with the whole sales team for a small business. The company is still going on with a skeleton team of owners and admin. The concern for the team is that although the business has no debt at all they are concerned about the possibility of not getting paid.

They have all been given formal notice with the amount they are getting and have received this month’s payslips in the usual manner. The business is to remain at the same address and is not going into liquidation (as far as they know) but doubts have been raised. The office manager is certain they will get paid and in fairness the directors are good blokes and most of the team are staying on to help with a transition.

The question my 'friend' has is now they have the payslips and they have been informed there is enough money, how could the directors legally get out of paying if they so wished, and what steps could the staff take if this happened?


NDA

25,687 posts

255 months

Tuesday 14th October 2008
quotequote all
lingus75 said:
Was recently made redundant along with the whole sales team for a small business. The company is still going on with a skeleton team of owners and admin. The concern for the team is that although the business has no debt at all they are concerned about the possibility of not getting paid.

They have all been given formal notice with the amount they are getting and have received this month’s payslips in the usual manner. The business is to remain at the same address and is not going into liquidation (as far as they know) but doubts have been raised. The office manager is certain they will get paid and in fairness the directors are good blokes and most of the team are staying on to help with a transition.

The question my 'friend' has is now they have the payslips and they have been informed there is enough money, how could the directors legally get out of paying if they so wished, and what steps could the staff take if this happened?
They have payslips but have not received any pay? Normally payslips are issued at the time of the payment aren't they?

They are legally entitled to their payment unless the company was wound up/ceased to trade etc. If they have not been paid then it's a case of establishing the debt and pursuing it.

Lola22

26 posts

217 months

Tuesday 14th October 2008
quotequote all
lingus75 said:
Was recently made redundant along with the whole sales team for a small business. The company is still going on with a skeleton team of owners and admin. The concern for the team is that although the business has no debt at all they are concerned about the possibility of not getting paid.

They have all been given formal notice with the amount they are getting and have received this month’s payslips in the usual manner. The business is to remain at the same address and is not going into liquidation (as far as they know) but doubts have been raised. The office manager is certain they will get paid and in fairness the directors are good blokes and most of the team are staying on to help with a transition.

The question my 'friend' has is now they have the payslips and they have been informed there is enough money, how could the directors legally get out of paying if they so wished, and what steps could the staff take if this happened?
How can they have payslips without pay?

MK4 Slowride

10,028 posts

238 months

Tuesday 14th October 2008
quotequote all
If they're made redundant and the company has no money to pay them then they're paid from the National Insurance kitty.

lingus75

Original Poster:

1,705 posts

252 months

Tuesday 14th October 2008
quotequote all
They always get their payslips about a week before. Don't know why actually, it's always been the same.

lingus75

Original Poster:

1,705 posts

252 months

Tuesday 14th October 2008
quotequote all
MK4 Slowride said:
If they're made redundant and the company has no money to pay them then they're paid from the National Insurance kitty.
Is that the whole lot, or a %?

MK4 Slowride

10,028 posts

238 months

Tuesday 14th October 2008
quotequote all
They'll get paid what they're owed regardless.

Tell them to get their CV in line and get back out there as the long they wait the harder it'll be.

I know this from painful recent & distant past experience.

V8mate

45,899 posts

219 months

Tuesday 14th October 2008
quotequote all
Lola22 said:
lingus75 said:
Was recently made redundant along with the whole sales team for a small business. The company is still going on with a skeleton team of owners and admin. The concern for the team is that although the business has no debt at all they are concerned about the possibility of not getting paid.

They have all been given formal notice with the amount they are getting and have received this month’s payslips in the usual manner. The business is to remain at the same address and is not going into liquidation (as far as they know) but doubts have been raised. The office manager is certain they will get paid and in fairness the directors are good blokes and most of the team are staying on to help with a transition.

The question my 'friend' has is now they have the payslips and they have been informed there is enough money, how could the directors legally get out of paying if they so wished, and what steps could the staff take if this happened?
How can they have payslips without pay?
What makes you think that they are simultaneous items? A bank transfer gives you the money. A printer creates the advice note which is your payslip. I get my payslip at the beginning of the month, but the cash at the end!

lingus75

Original Poster:

1,705 posts

252 months

Tuesday 14th October 2008
quotequote all
MK4 Slowride said:
They'll get paid what they're owed regardless.

Tell them to get their CV in line and get back out there as the long they wait the harder it'll be.

I know this from painful recent & distant past experience.
Does the N.I kitty pay them if the are wound up aswell as if they just didn't have the money but continued to trade?

Rich-UK

1,431 posts

286 months

Tuesday 14th October 2008
quotequote all
Thinking of not paying your staff then? hehe

lingus75

Original Poster:

1,705 posts

252 months

Tuesday 14th October 2008
quotequote all
[quote=Rich-UK]Thinking of not paying your staff then? hehe

Am sure it won't happen but this person would feel very silly and annoyed if he didn't make provision now.

MK4 Slowride

10,028 posts

238 months

Tuesday 14th October 2008
quotequote all
lingus75 said:
MK4 Slowride said:
They'll get paid what they're owed regardless.

Tell them to get their CV in line and get back out there as the long they wait the harder it'll be.

I know this from painful recent & distant past experience.
Does the N.I kitty pay them if the are wound up aswell as if they just didn't have the money but continued to trade?
That would be really ish.

lingus75

Original Poster:

1,705 posts

252 months

Tuesday 14th October 2008
quotequote all
MK4 Slowride said:
lingus75 said:
MK4 Slowride said:
They'll get paid what they're owed regardless.

Tell them to get their CV in line and get back out there as the long they wait the harder it'll be.

I know this from painful recent & distant past experience.
Does the N.I kitty pay them if the are wound up aswell as if they just didn't have the money but continued to trade?
That would be really ish.
Just realised that above post doesn't actually make it obvious that I am not the employer but an employee. Just need to make sure I am not left in a position where I have no options.

ticmon

118 posts

218 months

Tuesday 14th October 2008
quotequote all
Maybe some HR boffins can help but if someone is made redundant and the company stays open and then takes on someone in that job role isn't it seen as constructive dismissal for the original worker? I might be totally mistaken on this and am there to be shot down!

Edited by ticmon on Tuesday 14th October 21:01

MK4 Slowride

10,028 posts

238 months

Tuesday 14th October 2008
quotequote all
If they can still trade without everyone losing their job then I wouldn't have thought there's a problem with that so long as they don't appoint anyone else. Then again a company I used to work for would sometimes make a position redundant say Corporate manager and appoint someone else as Business manager doing the same job. Sly s.

lingus75

Original Poster:

1,705 posts

252 months

Tuesday 14th October 2008
quotequote all
Whether they take anyone else on isnt an issue for me. Just need to know I make sure I get my money

silver.fox.2008

820 posts

220 months

Tuesday 14th October 2008
quotequote all
lingus75 said:
Whether they take anyone else on isnt an issue for me. Just need to know I make sure I get my money
Construction Recruitment?

MK4 Slowride

10,028 posts

238 months

Tuesday 14th October 2008
quotequote all
You will but it can take a few weeks. If you are in dire straights then go to the job centre to claim the benefits you're entitled to whilst seeking further employment. They appreciate you phone first to book your slot & they will need evidence of your financial situation.

Good luck it's a stty thing to happen to anyone.

I'm using it as a chance to do something different & if that doesn't work out go back to a car franchise. I do miss my cars.