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Constructive Dismissal Claim and Unpaid Wages

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  • Constructive Dismissal Claim and Unpaid Wages

    Hi there,

    I am new to this forum so please forgive my naivety!

    I recently terminated my employment working for a small hospitality company at the most senior level of management, after being threatened by the MD's mother and subject to extortionate working conditions, which involved me working for more than 70 hours a week, on average. During my time there (under one month), I learnt that the company was under investigation for tax evasion, had two CCJs against it's name and that none of the employees are given contracts or payslips - so you can see why I was keen to get out!

    Having finished my shift on which the threat was made, I tendered my resignation - effective immediately - via email to the MD and detailed wages owed to me, plus when and how I expected them to be paid. Unfortunately, I haven't heard from the MD since, and also haven't been paid any of the monies owing. I have just sent a 'follow up' email encouraging him to transfer the outstanding sum but I don't expect to get a reply.

    I was wondering what the best course of action would be next? I think I have a good case for claiming constructive dismissal, but I don't want to incur extensive legal fees if I am likely to lose...

    As an aside, due to the fact that I had to relocate for the position and use my employer (now former) as my financial referee, he has details of my address and I am concerned that there might be more serious repercussions, should I become more forceful with my demands.

    Thanks in advance for any advice!
    Tags: None

  • #2
    Re: Constructive Dismissal Claim and Unpaid Wages

    Hi [MENTION=68898]AKJR007[/MENTION] - welcome to the forum.

    When you say you recently resigned, how long ago is 'recently'?

    Not having a written statement of employment particulars, or wage slips, are contraventions of the Employment Rights Act 1996. However, these are typically not sufficient on their own to bring a claim for constructive dismissal.

    If you have been working in excess of 48-hours per week, regularly, at the employer's request, and you have not signed an opt-out agreement, you may be able to bring a claim using the Working Time Regulations 1998.

    I think the likelihood of you winning a constructive dismissal claim hinges on the details of the threat you received from the MD's mother. Are you able to give us more details?

    If your employer does not pay you the monies owed, you may be able to add unlawful deductions of wages to your claim; however, you won't be able to base your constructive dismissal claim on this because the employer didn't owe you the money until you resigned, i.e. it wasn't the reason you resigned.

    - Matt
    Disclaimer: I am not a qualified solicitor. Nothing provided herein should be used as a substitute for professional legal advice. As legal advice must be tailored to the specific circumstances of each case, and laws are constantly changing, you should seek professional legal advice before acting upon any opinion, advice or information provided herein.

    Comment


    • #3
      Re: Constructive Dismissal Claim and Unpaid Wages

      Agreed with [MENTION=67649]matt3942[/MENTION] - The key is in regards to the threat made by the MD's mother, though is she is not an employee, secretary, director of the company then shes a 3rd party and the threat would have therefore been made by a third party not the company. As such the company would not be liable for threats made by a 3rd party!
      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.

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      • #4
        Re: Constructive Dismissal Claim and Unpaid Wages

        As you say, it depends on her role, and if she's not an employee (of some sort), why she was in the workplace. What's certain is that we need more details before we can advise.

        - Matt
        Disclaimer: I am not a qualified solicitor. Nothing provided herein should be used as a substitute for professional legal advice. As legal advice must be tailored to the specific circumstances of each case, and laws are constantly changing, you should seek professional legal advice before acting upon any opinion, advice or information provided herein.

        Comment


        • #5
          Re: Constructive Dismissal Claim and Unpaid Wages

          Originally posted by AKJR007 View Post
          Hi there,

          I am new to this forum so please forgive my naivety!

          I recently terminated my employment working for a small hospitality company at the most senior level of management, after being threatened by the MD's mother and subject to extortionate working conditions, which involved me working for more than 70 hours a week, on average. During my time there (under one month), I learnt that the company was under investigation for tax evasion, had two CCJs against it's name and that none of the employees are given contracts or payslips - so you can see why I was keen to get out!

          Having finished my shift on which the threat was made, I tendered my resignation - effective immediately - via email to the MD and detailed wages owed to me, plus when and how I expected them to be paid. Unfortunately, I haven't heard from the MD since, and also haven't been paid any of the monies owing. I have just sent a 'follow up' email encouraging him to transfer the outstanding sum but I don't expect to get a reply.

          I was wondering what the best course of action would be next? I think I have a good case for claiming constructive dismissal, but I don't want to incur extensive legal fees if I am likely to lose...
          Before going further with this, how long did you work for the company in question? Was it under one month all together? If that was the case, I'm sorry to say you wouldn't have a case at all, since at least two years employment are required to be able to submit a claim of unfair dismissal to the Employment Tribunal, and constructive dismissal is a kind of unfair dismissal.

          You can, however, make a claim for unpaid wages. You'll need proof that the money is owed to you and that it wasn't paid. Nowadays you need to go through ACAS Early Conciliation before you submit a claim, however, that could be a good thing as your ex-employers may well agree to pay you what they owe you without you having to submit a claim: https://www.citizensadvice.org.uk/wo...-how-it-works/ Unlike ET claims, early conciliation is free. :thumb:
          Last edited by FlamingParrot; 2nd July 2015, 15:51:PM. Reason: Added bit about unpaid wages

          Comment


          • #6
            Re: Constructive Dismissal Claim and Unpaid Wages

            Hi all and thanks for your replies and advice!
            [MENTION=67649]matt3942[/MENTION] - I resigned on Friday 26th June so a week ago, today. The threat was "if you don't start doing as you're told, you'll get your throat cut". Clearly not meant with intention but unnecessary nonetheless!
            [MENTION=19071]teaboy2[/MENTION] - When I took the position, I was under the impression I would work for the MD only, but his mother is a shareholder in the company and a manager at one of the other sites in the chain.
            [MENTION=37786]FlamingParrot[/MENTION] - Ah. I didn't realise the two year rule applied. Yes, I have worked for the company for less than a month in total. I've read a little bit about Early Conciliation. What sort of evidence would I need to prove that wages were owed? Could I only claim back for monies outstanding - no further compensation? I signed a flat lease with his guarantee of salary which I now can't afford. Similarly, his not paying tax on my wages will affect me indirectly, due to a gap in my NI contributions and student loan repayments. I'm not out to exploit the company, but it seems like it might not be worth pursuing considering the limited amount I am owed - pub managers are not very well paid!

            Thanks again guys, I really appreciate it!

            Comment


            • #7
              Re: Constructive Dismissal Claim and Unpaid Wages

              Originally posted by AKJR007 View Post
              @FlamingParrot - Ah. I didn't realise the two year rule applied. Yes, I have worked for the company for less than a month in total. I've read a little bit about Early Conciliation. What sort of evidence would I need to prove that wages were owed? Could I only claim back for monies outstanding - no further compensation? I signed a flat lease with his guarantee of salary which I now can't afford. Similarly, his not paying tax on my wages will affect me indirectly, due to a gap in my NI contributions and student loan repayments. I'm not out to exploit the company, but it seems like it might not be worth pursuing considering the limited amount I am owed - pub managers are not very well paid!

              Thanks again guys, I really appreciate it!
              Unfortunately you'd need at least two years service to be able to claim unfair dismissal (including constructive dismissal) and even then the compensatory award would be for the actual loss of earnings and not incidental matters that did not relate directly to your employment such as the lease. The tax on your wages goes to the government and doesn't have any impact on yourself. Student loans are only repayable when you are earning more than £21k a year so you won't have to make payments if you are unemployed. With regards to NI contributions and your rent, you can claim Jobseekers allowance (or Universal Credit if applicable in your area these days). When you claim you also get NI credits and you can claim housing benefit to pay most if not all of your rent, as well as council tax reduction to cover most of your council tax. :thumb:

              You can, however, make a claim for the monies outstanding and any accrued holiday pay, under an unlawful deduction of wages ET claim. Before you submit a claim, you need to raise a written grievance to your ex-employers. If they still don't pay you, you can submit a claim, however, nowadays it is a requirement to go through ACAS early conciliation before you do. EC is free and you can request it online: http://www.acas.org.uk/earlyconciliation You need to do this within three months of dismissal. :typing:

              Comment

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