Thomas Cook workers - should we pay?
Discussion
Just caught this on my home page/news feed and got me thinking...
http://www.msn.com/en-gb/money/news/heartbroken-th...
Wont paste the whole text but Thomas Cook worker has already defaulted on her car payments and mortgage due to the collapse apparently.
She appears to have discovered about the collapse while on HOLIDAY IN JAMAICA but was flown back in accordance with repatriation efforts it seems. Whilst not paid in September due to the collapse, she appears to have not been paid since August also.
But it does appear that knowing she hadn't been paid, she went to Jamaica knowing the firm was going under and defaulted on her car payments etc.
I know there have been many threads on how people live hand to mouth etc but my guess is this lady also has CC debts and loans? So the whole house will come crumbling down around her in weeks.....
I suppose there are 3 questions:
1) Should the government pay? (For what is unclear) and
2) Would people really still go to Jamaica on holiday knowing their company was going under and they hadn't been paid due to the collapse? and
3) Do 'normal' people really live this close to the wire with car payments, Mortgages and no doubt CC debts and still go on exotic holidays? She doesn't appear to be a young naïve 22 year old.....
Hope the above isn't too harsh as I do feel for people who find themselves in these awful positions.
Edit to change last payment date to 'since August'
http://www.msn.com/en-gb/money/news/heartbroken-th...
Wont paste the whole text but Thomas Cook worker has already defaulted on her car payments and mortgage due to the collapse apparently.
She appears to have discovered about the collapse while on HOLIDAY IN JAMAICA but was flown back in accordance with repatriation efforts it seems. Whilst not paid in September due to the collapse, she appears to have not been paid since August also.
But it does appear that knowing she hadn't been paid, she went to Jamaica knowing the firm was going under and defaulted on her car payments etc.
I know there have been many threads on how people live hand to mouth etc but my guess is this lady also has CC debts and loans? So the whole house will come crumbling down around her in weeks.....
I suppose there are 3 questions:
1) Should the government pay? (For what is unclear) and
2) Would people really still go to Jamaica on holiday knowing their company was going under and they hadn't been paid due to the collapse? and
3) Do 'normal' people really live this close to the wire with car payments, Mortgages and no doubt CC debts and still go on exotic holidays? She doesn't appear to be a young naïve 22 year old.....
Hope the above isn't too harsh as I do feel for people who find themselves in these awful positions.
Edit to change last payment date to 'since August'
Edited by Slaav on Thursday 3rd October 12:59
The government,or rather nif already is/will be paying,recently made redundant by firm that went into admistratoon,got email on holiday,claimed,owed wages/holiday pay,lack of notice,protective award,this after firm I worked for was taken over 18 month before hand,so for smallish firm reckon it cost national insurance fund £2+million,cost a lot more for TC employees
Slaav said:
...
3) Do 'normal' people really live this close to the wire with car payments, Mortgages and no doubt CC debts and still go on exotic holidays? ...
I'd certainly have to start relying on credit cards, overdrafts, selling off random tat, within a couple of months if I found myself out of a job with no payoff.3) Do 'normal' people really live this close to the wire with car payments, Mortgages and no doubt CC debts and still go on exotic holidays? ...
Did TC employees get discounted holidays as a perk?
I'd say a good percentage of people are only one pay cheque away from total disaster. I know lots of people with a big mortgage, huge car payments on the latest shiny new model, nice holidays and generally a good lifestyle but little to no savings or investments to call on. I work on having about 3 months salary put aside just in case I need to bridge the gap between jobs if something went wrong.
You never know when a huge unexpected bill can come your way either (new boiler, etc.) We have 2 decent salaries coming in so I appreciate it's not always possible to do that. That said, buggering off on an expensive holiday doesn't count as a huge unexpected bill.
You never know when a huge unexpected bill can come your way either (new boiler, etc.) We have 2 decent salaries coming in so I appreciate it's not always possible to do that. That said, buggering off on an expensive holiday doesn't count as a huge unexpected bill.
Apparently yes, decent staff discounts but they also sold spare/empty places to staff very cheaply too at short notice. So you could have time booked off and just head somewhere random very cheaply. If she's cabin crew then possibility of staying at flight destination too.
Some people do run things very close, yes.
Some people do run things very close, yes.
If we prop up TC, what do we tell the guys working for Thompson or TUI when they lose their jobs because they can’t compete with a state funded operator?
Fundamentally, the people who used to book with TC will now book with TUI or Thompson, the same number of holidays will be booked, the same number of people will be employed (as would have been employed had TC stream lined) and equilibrium will remain.
Fundamentally, the people who used to book with TC will now book with TUI or Thompson, the same number of holidays will be booked, the same number of people will be employed (as would have been employed had TC stream lined) and equilibrium will remain.
Of course, normal people live close to the wire, the average uk salary is 25k, average house prices are around 5 times this.
So to have a roof over your head means you are at the edge. As much as PH is full of single blokes earning good money, the vast majority isn't.
The government won't bail her out, but she didn’t really have many options left, not been paid for 4 months, yet TC issued dividands and mangement bonusses in run up to insolvency. I think we can see, she isn't the route of the issue, a holiday, probably her last for a long while is just deserved.
So to have a roof over your head means you are at the edge. As much as PH is full of single blokes earning good money, the vast majority isn't.
The government won't bail her out, but she didn’t really have many options left, not been paid for 4 months, yet TC issued dividands and mangement bonusses in run up to insolvency. I think we can see, she isn't the route of the issue, a holiday, probably her last for a long while is just deserved.
roadsmash said:
No way. Irresponsible spending IMO.
This, if you're one pay packet away from losing your house and car, you have made some bad financial decisions. Slaav said:
3) Do 'normal' people really live this close to the wire with car payments, Mortgages and no doubt CC debts and still go on exotic holidays? She doesn't appear to be a young naïve 22 year old.....
I wouldnt say it's normal, but a lot of people do live payday to payday without realising or wanting to realise how tenuous their financial position is.Whist they shoulder the majority of the blame, some of it does fall to the lenders for trying to hook people on easy credit.
In debt isn't a good way to live but there are people who will defend their life of debt no matter how spurious the argument.
It’s unlikely she or anyone would have been able to cancel the holiday that close to the holiday without facing 100% or near full value holiday cost as a cancellation charge.
Horrible situation.
This is what emergency savings or credit cards or overdrafts are all about.
Hopefully she calls her mortgage company NOW to gain an emergency “mortgage holiday” otherwise mortgage could be foreclosed etc.
Hope it works out for her and anyone else in that s
t situation.
Horrible situation.
This is what emergency savings or credit cards or overdrafts are all about.
Hopefully she calls her mortgage company NOW to gain an emergency “mortgage holiday” otherwise mortgage could be foreclosed etc.
Hope it works out for her and anyone else in that s
t situation. The article says she's not been paid since August (ie the last working day in august) and she was on holiday when the company collapsed. TC staff had no early warning that the company was going under and I don't think this article suggests otherwise:
Paid at end of August
Goes on holiday towards end of september thinking her job is ok
Company collapses
Doesn't get paid at end of September
Cannot pay mortgage/debts on 1st October
That's how I understand it (my sister worked for TC FWIW)
Paid at end of August
Goes on holiday towards end of september thinking her job is ok
Company collapses
Doesn't get paid at end of September
Cannot pay mortgage/debts on 1st October
That's how I understand it (my sister worked for TC FWIW)
One thing that should be done is faster processing of redundancy. Took several weeks for mine to come through, with no hint of when I’d get it/if they were processing it.
Friend of mine who lost his job at the same time had a query come through about his claim (administrators sent wrong info to Redundancy office). He tried to call them but they never answered, and his email was answered two weeks later
Despite my original thought of “government should do nothing”, perhaps there should be a bridging payment to help those awaiting redundancy payments? I think it was 7 weeks for the redundancy and 14 weeks for lieu of notice. Bit of a piss take really.
Friend of mine who lost his job at the same time had a query come through about his claim (administrators sent wrong info to Redundancy office). He tried to call them but they never answered, and his email was answered two weeks later
Despite my original thought of “government should do nothing”, perhaps there should be a bridging payment to help those awaiting redundancy payments? I think it was 7 weeks for the redundancy and 14 weeks for lieu of notice. Bit of a piss take really.
Liokault said:
If we prop up TC, what do we tell the guys working for Thompson or TUI when they lose their jobs because they can’t compete with a state funded operator?
Fundamentally, the people who used to book with TC will now book with TUI or Thompson, the same number of holidays will be booked, the same number of people will be employed (as would have been employed had TC stream lined) and equilibrium will remain.
Thomson IS Tui. Fundamentally, the people who used to book with TC will now book with TUI or Thompson, the same number of holidays will be booked, the same number of people will be employed (as would have been employed had TC stream lined) and equilibrium will remain.
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