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Dodgy Employer

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  • Dodgy Employer

    Hi, I'm looking for a bit of advice.
    I started a job in March 2014 for a small company and everything seemed ok until 1st payday when I was told I would be paid through an umbrella company. This continued for 6 months before the Director said she'd pay me direct by bank transfer as it was costing too much through the umbrella as they had to pay VAT on top.
    For my first pay it was odd as I was paid £1700 (annual salary £24000) - and when I asked why it was a round number, she said the extra was bonuses to make it easier on accounts and I'd get a pay statement soon.
    Same happened again the following months but still no payslip.

    This continued through to January 2015 but things became more strange.

    We were looking at new office space and agreed on a property but the landlord wanted to secure against the Directors house as the company was new? Which was bizarre as when I went for the interview I checked the company against Companies House and had been established for 5 years. So I did a bit of digging and found out the company was struck off for non compliance and not filing accounts in May 2014. The Director had re-registered the company under a similar name a week later.

    This made sense now that if accounts haven't been filed - no tax or national insurance had been sent for me either from my deductions and decided it was time to leave. I resigned on 6th February 2015 giving one weeks notice which was agreed to be paid in lieu as I'd only taken 14 days annual leave.

    The February pay day came and went and as suspected I didn't get paid. I sent am email requesting payment as per ACAS guidelines and waited a week. No response.

    I opened an early conciliation case with ACAS waited 4 weeks - no response. Then the Director called ACAS and said I'd be paid on 26th April - and said it's because she'd been in hospital (she hadn't - we have mutual friends and pictures were on social media of nights out). I still wasn't paid on 26th and had opened an ET1 claim which expires on 15th May.

    Yesterday ACAS called me with an offer of £577 - which is half of what I'm due and have already paid out the £160 to open the claim as my pay is now almost 3 months overdue.

    It left me in a bit of a mess where I had to borrow money to cover bills in February. I've since got another job which is amazing - but feeling very angry about the way my ex employer is behaving.

    I still haven't received any payslips, the notice period I was technically still working as she called everyday and I attended a networking meeting to resign my post so the company could still continue.

    My question is - how will this be perceived in a hearing if it gets to this stage as from my point of view - I feel they've behaved so poorly it'd be difficult for me to lose?
    Tags: None

  • #2
    Re: Dodgy Employer

    Chances are you will win.

    Though in cases of unpaid wages etc, its better to take the matter to small claims court as a breach of contract claim than it is to take to ET. But none the less you will get back your application fee and your unpaid wages.

    Given what you have stated about tax and NI i would suggest you contact HMRC too and make sure your ex-employer had paid your tax and NI to them. If she hasn't then HMRC will be investigating her and likely pay her a visit too.
    Please note that this advice is given informally, without liability and without prejudice. Always seek the advice of an insured qualified professional. All my legal and nonlegal knowledge comes from either here (LB),my own personal research and experience and/or as the result of necessity as an Employer and Businessman.

    By using my advice in any form, you agreed to waive all rights to hold myself or any persons representing myself of any liability.

    If you PM me, make sure to include a link to your thread as I don't give out advice in private. All PMs that are sent in missuse (including but not limited to phishing, spam) of the PM application and/or PMs that are threatening or abusive will be reported to the Site Team and if necessary to the police and/or relevant Authority.

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    Comment


    • #3
      Re: Dodgy Employer

      Originally posted by jemmylb81 View Post
      Yesterday ACAS called me with an offer of £577 - which is half of what I'm due and have already paid out the £160 to open the claim as my pay is now almost 3 months overdue.
      ...
      My question is - how will this be perceived in a hearing if it gets to this stage as from my point of view - I feel they've behaved so poorly it'd be difficult for me to lose?
      When you say "how will this be perceived" do you mean if you refuse the offer of £577?

      If you do mean this, the Employment Tribunal will not take it into account as it is covered by 'without prejudice communications' privilege. So your rejection of the offer won't harm you.


      As for the strength of your case, I agree with teaboy2: you have a strong case.

      Comment

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