Ongoing non payment of salary. How to progress?
Discussion
I have a job as a PAYE employee of a UK based company. The directors are based overseas, and I am the sole UK employee of the company. Cashflow has been a problem for the last couple of months, and I have not received my salary for Jan, Feb and March. Initially, I was told that the directors would personally guarantee the money. I believed this until the end of February. They made me promises that it would be resolved before Easter. Clearly, this has not happened.
I know I look like a mug, and I've let it slide for too long. Having said that, it's not my sole source of income. I've just had a conversation with one of the directors and told him that if the money is not in my account by Friday, I'll sell the UK stock for whatever I can get for it until I'm squared up. The company also owes money to suppliers, some of whom I consider friends. I've told the director that they need to be paid also.
Foolishly, I said I'd give them another month if they pay me, but then I'm out of it. I've lost faith in them. I'm not arrogant enough to believe that I'm irreplaceable, but it will be difficult. They had me on a 6 month notice contract, but I'm sure they're in breach for non-payment. I don't want to see the company fail because of my actions, but I can't work for nothing.
What is the right thing to do?
I know I look like a mug, and I've let it slide for too long. Having said that, it's not my sole source of income. I've just had a conversation with one of the directors and told him that if the money is not in my account by Friday, I'll sell the UK stock for whatever I can get for it until I'm squared up. The company also owes money to suppliers, some of whom I consider friends. I've told the director that they need to be paid also.
Foolishly, I said I'd give them another month if they pay me, but then I'm out of it. I've lost faith in them. I'm not arrogant enough to believe that I'm irreplaceable, but it will be difficult. They had me on a 6 month notice contract, but I'm sure they're in breach for non-payment. I don't want to see the company fail because of my actions, but I can't work for nothing.
What is the right thing to do?
You may not be bothered, but it would be worth removing your name from your profile.
There can't be many people with your name, with another company (which is also your profile name), that's an Ops Director.
Just whilst trying to sort it out at least, the overseas directors (although unlikley) may put all this together, and be upset about the publicity on the internet, and may withhold further payment etc that you may want before wrapping it all up.
Stuff looks nice though ;-)
There can't be many people with your name, with another company (which is also your profile name), that's an Ops Director.
Just whilst trying to sort it out at least, the overseas directors (although unlikley) may put all this together, and be upset about the publicity on the internet, and may withhold further payment etc that you may want before wrapping it all up.
Stuff looks nice though ;-)
Edited by GSP on Tuesday 2nd April 15:03
They're in breach of your contract (unless it's a non-standard one) by not paying you.
I assume that, whilst you've given them another month to pay you, you're not actualy working?
If not, you're mad.
Either way, I'd tell them I want paying by the end of the week or a reason why not. If they don't physically have the money, try to either cut a deal or make a payment plan if you believe they'll cough up.
With them being abroad, I'd go for the former.
I assume that, whilst you've given them another month to pay you, you're not actualy working?
If not, you're mad.
Either way, I'd tell them I want paying by the end of the week or a reason why not. If they don't physically have the money, try to either cut a deal or make a payment plan if you believe they'll cough up.
With them being abroad, I'd go for the former.
Muzzer79 said:
I assume that, whilst you've given them another month to pay you, you're not actualy working?
If not, you're mad.
I've told them I want the outstanding amount paid by Friday this week. If they do that, I'll work until the end of April on the understanding that I'll be paid for that month.If not, you're mad.
If I don't get the outstanding amount by Friday, I'm finished. I then start clearing the stock until I've got my money.
worsy said:
Whatever you do do not sell something that doesn't belong to you.
I would sell it and invoice it through my employer's company. The money would go into the company's bank account, and then be paid into mine. I'd like to think that if and when the directors come to the UK, that there would be no abnormal stock discrepancies. Having said that, there would be some very large price reductions.
worsy said:
Whatever you do do not sell something that doesn't belong to you.
You can bet your bottom dollar that when it comes to YOU doing something like that then for the first time ever the police will take an interest and not bleat out their crime avoidance "it's a civil matter" line 
Take goods to the value of what you are owed (at MUCH reduced prices) and store them somewhere safe. Tell the owners they can have it back when they pay you what you are owed, or you'll sell it in a months, keep what you're owed and give them the balance.
Apparently thats legal as you are NOT stealing.
Apparently thats legal as you are NOT stealing.
It's an option, but I don't really have the time or the inclination. To me, if something's not working, I'll spend a finite amount of time and energy trying to sort it, then move on. I've allocated April to sorting this. If it's not done by the end of the month, I'll have to get on with something else.
s2sol said:
It's an option, but I don't really have the time or the inclination. To me, if something's not working, I'll spend a finite amount of time and energy trying to sort it, then move on. I've allocated April to sorting this. If it's not done by the end of the month, I'll have to get on with something else.
What was their response when you told them the terms?They told me the deadline was too short. I reminded them that I'd raised concerns about the cashflow of the company last October, and that they'd repeatedly promised to raise the money for my salary and a number of other creditors. They've apologised and acknowledged that they're at fault, and asked me to give them 6 months.
I've told them that if they can get the money to me by Friday, I'll give them until the end of April. If not, I stop answering the phone and responding to emails and post at 18.00 on Friday, and use my contacts to clear the stock until the outstanding amounts that I'm concerned with are paid. Once that's done, I'll leave the warehouse keys under the doormat and embark on the next exciting chapter of my life.
I've told them that if they can get the money to me by Friday, I'll give them until the end of April. If not, I stop answering the phone and responding to emails and post at 18.00 on Friday, and use my contacts to clear the stock until the outstanding amounts that I'm concerned with are paid. Once that's done, I'll leave the warehouse keys under the doormat and embark on the next exciting chapter of my life.
mondeoman said:
Take goods to the value of what you are owed (at MUCH reduced prices) and store them somewhere safe. Tell the owners they can have it back when they pay you what you are owed, or you'll sell it in a months, keep what you're owed and give them the balance.
Apparently thats legal as you are NOT stealing.
It's known as lien and its perfectly legal as long as it is exercised correctly.Apparently thats legal as you are NOT stealing.
An additional 6 months for payment is ridiculous given the timescales that have already passed.
s2sol said:
They told me the deadline was too short. I reminded them that I'd raised concerns about the cashflow of the company last October, and that they'd repeatedly promised to raise the money for my salary and a number of other creditors. They've apologised and acknowledged that they're at fault, and asked me to give them 6 months.
I've told them that if they can get the money to me by Friday, I'll give them until the end of April. If not, I stop answering the phone and responding to emails and post at 18.00 on Friday, and use my contacts to clear the stock until the outstanding amounts that I'm concerned with are paid. Once that's done, I'll leave the warehouse keys under the doormat and embark on the next exciting chapter of my life.
Are they on drugs?I've told them that if they can get the money to me by Friday, I'll give them until the end of April. If not, I stop answering the phone and responding to emails and post at 18.00 on Friday, and use my contacts to clear the stock until the outstanding amounts that I'm concerned with are paid. Once that's done, I'll leave the warehouse keys under the doormat and embark on the next exciting chapter of my life.
So they expect you to work, for free, for 6 months?
I'd start organising your stock sale now 'cos if they're talking about that timeline then they've likely not got a pot urinate in.
It may be worth trying to cut a deal to include the stock.
i.e If you're owed £10k salary, offer to take £7k plus the stock or something (depends on what you're owed and the value of the stock obviously)
Better to get something now than sod all in 6 months....
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