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Ex Employer withholding final salary

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  • Ex Employer withholding final salary

    Hiya,

    I joined a small company at the start of May this year and was supposed to be paid my salary on the last working day of the month. The company was in the construction and had a "1 weeks lie time" system in place.

    At the end of the 1st month, I wasn't paid and it took me 4 days to get my money (minus the lie time) and 5 days to actually speak to the MD about it as he decided to stay out of the office during this time.

    At the end of month 2, I was informed by my MD on the day I was due to be paid, that there were cashflow issues and I would get paid the next day. I was.

    During the 3rd month, I had serious concerns regarding the ethics and financial viability of the company so I handed in my 1 weeks notice to leave.

    In the afternokn of the day I was supposed to be paid in month 3, I hadn't received any money. The MD wasn't in the office and the Admin manager told me that no one was getting paid that day.

    I tried to contact the MD and eventually got very short text replies saying that I wasn't getting paid that day.

    I sent an email and a text message to the MD letting him know that this was totally unacceptable for the 3rd month in a row and cleared my desk and left.

    I received an aggressive voicemail and text message from the MD 2 hours later telling me that I wasn't getting paid until I handed my company car back. I went down straight away and handed it back in. I was paid month 3 salary that day and was informed by the MD that I would be paid my 3 weeks lie time money at the end of August. I left the job 2 working days before my notice period ended so I am aware that I breached my contract by walking out but I wasn't prepared to be messed around any longer!!

    At the end of August, no money was paid in to my bank by my ex employer. I tried contacting him by phone, email and text but got no response.

    I sent a recorded letter to the MD letting him know that it was against the law to withhold salary for the period worked and gave him 7 days to pay.

    I received a very strongly worded letter in response from the MD saying that it was his opinion that i was due no money from his company and wouldn't be getting any!!! He then accused me of being continuously late for work, and left early and took excessive time for lunch breaks. The only times I was late for work and left early were the 2 days a week I had to put my kids into and pick up from after school care. This arrangement was agreed with the MD and I workedmy lunch hour to make up for lost time. In the 3 months I was working there, I remember taking my full 1 hour lunchbreak on 2 occasions. The rest was spent eating a sandwich whilst working.

    He also alleges that I have been in contact with his clients and have downloaded sensitive data from his server!! These are both completely untrue!!!

    He also states that he is dissapointed in the way my employment went and that I never fulfilled the responsibilities that my role demanded!! This is also completely untrue!!

    The end result is that he isn't paying me what I'm owed and said the matter is closed and that if i pursue him through the courts then, if I'm unsuccessful, then i will be liable for all of his legal costs!!

    I want to take him to the small claims court but I'm wondering if its worth it and where I would stand in this case?

    sorry for long story but I thought it was better to put down the whole story so hopefully someone can help.

    Any help would be appreciated
    Tags: employment

  • #2
    Re: Ex Employer withholding final salary

    Whether or not it is worth taking the matter to court will depend on how much you are owed.
    You have obviously looked at your rights and are aware of what deductions your ex employer can make from your wages.
    None of the reasons given are lawful.
    He appears to be blustering
    Others will be along soon with further advice

    Comment


    • #3
      Re: Ex Employer withholding final salary

      Thanks for the quick reply.

      I'm owed just under £1000 and I understand that it doesn't cost that much to go through the small claims court.

      I've had a wee look online about what deductions can be made and withholding of pay etc but I was just trying to get some others opinions before I decide my next course of action.

      Anyone know how long the small claims court process takes!

      Comment


      • #4
        Re: Ex Employer withholding final salary

        http://www.adviceguide.org.uk/englan...all_claims.htm - might help :tinysmile_twink_t2:
        Debt is like any other trap, easy enough to get into, but hard enough to get out of.

        It doesn't matter where your journey begins, so long as you begin it...

        recte agens confido

        ~~~~~

        Any advice I provide is given without liability, if you are unsure please seek professional legal guidance.

        I can be emailed if you need my help loading pictures/documents to your thread. My email address is Kati@legalbeagles.info
        But please include a link to your thread so I know who you are.

        Specialist advice can be sought via our sister site JustBeagle

        Comment


        • #5
          Re: Ex Employer withholding final salary

          The problem the ex employer has is that his allegations can never be tested since he decided to accept your resignation. The next question is whether or not you have received your P45?

          Personally, I'd be looking at getting some advice from ACAS because you did breach your contract by leaving 2 days early but that would surely be deducted from a final salary.
          "Family means that no one gets forgotten or left behind"
          (quote from David Ogden Stiers)

          Comment


          • #6
            Re: Ex Employer withholding final salary

            Originally posted by alfie2014 View Post
            Thanks for the quick reply.

            I'm owed just under £1000 and I understand that it doesn't cost that much to go through the small claims court.

            I've had a wee look online about what deductions can be made and withholding of pay etc but I was just trying to get some others opinions before I decide my next course of action.

            Anyone know how long the small claims court process takes!
            Certainly would seem to be worth chasing for your money.
            Time line is difficult to predict
            First you have to write a "letter before action" and await a reply.
            If no reply comes you file your claim.
            If they defend it could be a month before you can reply.
            You then await court allocation, and then, and then...............

            Others here will suggest you first speak to ACAS, and if your problem isn't sorted try a Employment Tribunal
            I personally would sue in County Court if negotiation and mediation doesn't produce results, but that is a choice for each individual.

            Comment


            • #7
              Re: Ex Employer withholding final salary

              Witholding pay is unlawful and you could complain to a tribunal.
              If you have a contract of employment, it should state your terms and conditions.
              Your employer isn’t allowed to make deductions unless:
              • it’s required or allowed by law, eg National Insurance, income tax or student loan repayments
              • you agree in writing
              • your contract says they can
              • there’s a statutory payment due to a public authority
              • you haven’t worked due to taking part in a strike or industrial action
              • there’s been an earlier overpayment of wages or expenses
              • it’s a result of a court order


              Check your contract to see if your employer is allowed to withhold your pay. Normally you’re entitled to be paid everything you earned up to the point you finished.
              If you’re forced to resign as a result of your employer refusing to pay you, you might be able to make a constructive dismissal claim in an employment tribunal.
              But you do need absolute proof of witholding wages.
              The same thing if you do what Des8 has stated, and sue in the county court.
              You will have to provide evidence.
              “The only man who sticks closer to you in adversity more than a friend, is a creditor.”

              Comment


              • #8
                Re: Ex Employer withholding final salary

                Court cost to start the claim is £60, payable by your ex-emploer when you win.

                Write a "Letter before action" to the ex employer, detailing your claim, ie hours worked and unpaid. Give him a reasonable time to make a payment or reject your claim.

                When you get nowhere make your claim online. Usually the appearance of a claim form through the post is sufficient (out of 14 claims I've made and been paid only one fought it to the court room, and lost) but if it goes to court it can take some time. The last case took 10 months from LBC to judgement.

                Comment

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