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Pay problems at work

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I started a new job about 4 months ago now & I have had nothing but trouble ever since I started working with the company.


The company I work for is a very small 'family run' business where I was hired to help with the web site of the business; (development, and maintaince of their sites) 4 months on I'm more web sales staff & occasional design staff on a split pay basis.


I have numerous problems with the company the main being the issue of being paid, every month now for the past couple of months I have been due pay, my pay hasn't gone into my account at all. I've had to whittle them down with constant harrassment for a cheque instead, & surprise surprise after checking my account this evening it would appear that this months pay isn't even outstandng again to go into my account again; and this is now the 3rd month that this has happened.


Alegedly the business is using an outside pay roll company to do the pay, tax/ni contributions for them and pay each employer on time. Everytime I've asked about it they've just put it down to the pay roll staff being flakey and messing up my pay, however every month I have given them my details over & over again for the pay roll company (my account details, bank address, national insurance details, date of birth etc..) so there has been no excuse to really mess up my pay when all the details & more are to hand for them.


I've got no idea at all where to even start aside from whittling them down again throughout the next few days to eventually get a cheque again (once they get sick of me asking).


The main concerns I have with this are that every month since I started my pay hasn't come through at all, I've had to ask for a cheque every month without ven a pay slip at all to check my ni/tax contributions are being paid either.

The company is also under severe financial troubles which have come to light more so over the past few weeks. As now sales staff I'm more aware of outstanding orders & refunds that aren't being met, the manager keeps letting slip about overdue bills the company has, & that they can't afford to meet most of the orders on our books. So naturally I can't help but jump to conclusions that they may not even be able to afford my pay, which might explain why it's not coming through until they eventually write me a cheque.


I'm really at a loss as to what to do here, aside from whittling them down every month for a cheque payment when my pay doesn't come through.


I'm really beginning to regret even taking the job offer, but having been unemployed before for 18 months I wasn't in a position to turn any job offer down, and obviously not in a position to hand in my notice for this job now; if I had the time to look for other vacancies believe me I would be.


Is there anything else I can do to resolve this?

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There are steps that you could take, but alas nothing which will work quickly, unless it is the kind of employer that will sit up and take notice of potential legal action.


Basically, the failure to pay your wages on time is likely to be classed as an Unlawful Deduction contrary to the Employment Rights Act. It is also likely to be a breach of your contract. When you started work there, there is a legal obligation on the employer to provide you with a written statement of the basic details of your contract (salary, working hours etc) and there may well have been something which confirmed that you will be paid eg Weekly in arrears every Friday, on the ast Friday of every month, on the 25th of every month - whatever the arrangements were. If there is any deviation then the failure to pay you on time is a breach, and as stated an Unlawful Deduction. Ultimately you could take the matter to an Employment Tribunal and the employer could be ordered to pay you on time. You could also reasonably expect any charges incurred through not being paid on time to be reimbursed, or could even sue for damages caused by the failure to pay you. You are also legally entitled to an itemised payslip.


That is the legal side, but I think from your tone that you are seeing the writing on the wall, and if there are money worries within the business, it is only fair to say that with only 4 months service, your position is shaky to say the least, as you could be 'let go' with very little comeback.


So, in a nutshell....


a) Send a Letter Before Action, warning the employer of his legal obligations, under threat of action through an Employment Tribunal, or even the County Court. This will cost them far more (in terms of time and effort through an ET and potentially costs and interest through the CC) than it would to simply make sure that you are paid on time.

b) Put up with having to remind them every month that payday is approaching and perhaps having to wait for it each time.

c) Start looking for a new job.


My recommendation? A or B plus C

Any advice given is done so on the assumption that recipients will also take professional advice where appropriate.






If I have been helpful in any way - please feel free to click on the STAR to the left!


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