Polite Employment Law Question

[QUIGPIN]

Hi,

Under UK law, if an employer fails to pay an employee on the appointed date, and says they don't know when this payment can be made, is the employee still bound to honour their notice period, please? Many thanks in advance.

[ULA]

Failure to pay wages for work done counts, in law, as an unauthorised deduction of wages If the matter cannot be resolved and you are entitled to make a claim to an employment tribunal.

Failure to pay wages – in full and on time – is also a fundamental breach of the employment contract.

What is your contractual notice?

[QUIGPIN]

Thanks very much for your reply ULA. My contractual notice is 30 days. Although I am a self-employed consultant, it states that is the notice period in my contract. My most recent pay is nearly a week overdue, I'm told there are no funds to pay me and my first month's pay was also late. Many thanks.

[ULA]

I presume that you have a consultancy contract as you are not an employee. In which case do you have a non-payment of invoices clause in your contract, if so I would have thought that you could just invoke that clause and withdraw services?

[QUIGPIN]

Thanks, ULA. My letter of understanding/contract states that I will be paid a fixed monthly fee, until the end of September. It says that in the event of late or delayed payments charges will be applied with reference to European Directive 2000/35/EC. I want to check that my employers couldn't refuse payment for the work I've already completed in July — for which I am yet to be paid — if I don't work my 30 days' notice.

My concern is that, if I complete my notice period, I will not be paid for two months' work. Thanks again for your help.

[ULA]

That will depend on what has been stated in your contract. Most contract of this nature should have a clause giving the right for you to terminate the contract for non-payment (after of defined period of trying to resolve) but include the right to be paid for all work completed.

[QUIGPIN]

Many thanks, ULA.