Not getting paid - rights?

chigli

Advice needed:
Haven't gotten paid in 2 and a half months now - and unlikely I will get paid for December either. Company is going through financial difficulties & I stayed around in the hope that things would work out. Doesn't look likely now.

I am not sure about my rights - anyone been through or know what exactly I could do? If I got another job, could I leave without a period of notice (contract null & void since I haven't been getting paid)? If I left & the company got over this - would I be entitled to receive any unpaid wages, or would I have to give up that right when I leave?

I didn't have any notice that this was a possibility & am not struggling financially. If I got some casual work - what would be the situation with tax?

Any advice is greatly appreciated!

DublinEvents

You should have started looking for a new job after the first month you weren't paid. Why are you sticking around? Is it coz they paid you well or do you love your current job? My advice is to get out there and find a better job. Once that is settled, you can choose to take whatever legal action you wish against the company to get your unpaid wages.

chigli

I realise that - but if I leave, will I be legally entitled to receive any monies owed?
I am looking for somewhere else at the moment too, but that is not going to happen tomorrow either.

leeroybrown

Of course you will be legally entitled to be paid for the time you worked. If you leave it will obviously be more awkward to get the money because they'll pay their existing staff first and may try to avoid paying you. Regardless of if you stay around or not, if the company is liquidated you'll be unlikely to receive all the money that you are owed as employee pay will be well down the debt order for the liquidator.

blorg

I am pretty sure you will still be entitled to your unpaid wages, no question if the company bounces back. The only issue is if the company goes into liquidation as to where you appear on the creditors ordering, you might want to investigate that.

But I doubt you can be penalised for not giving notice when you haven't been paid for 2.5 months!

seamus

If a company goes down the tubes, there's a certain priority in which its funds are distributed after liquidation.

Afaik (I could be wrong), staff wages are the first priority, then outstanding debts (such as unpaid invoices), then outstanding loans.

In any case, a company cannot withhold your wages, unless you have agreed with them that they can, even if they are going through financial problems.

Our man in Havana

The Revenue are the first ones to be paid. Then secured creditors and then unsecured creditors of which the staff are.

seamus

Bond-007 wrote:

The Revenue are the first ones to be paid. Then secured creditors and then unsecured creditors of which the staff are.

Ouch. I had suspected that, but for some reason I thought, "Irish law couldn't possibly allow that to happen"... :rolleyes:

Note to self: If company wishes to hold back my wages, demand my wages and look for a new job.

RainyDay

There is a Govt scheme which pays out much of any outstanding wages if a company goes bust without paying staff wages. See http://www.entemp.ie/employment/rights/paymentofwages.htm for more details.

Our man in Havana

That scheme only covers statutory redundancy payments and not wages per se.

Rebeller

chigli wrote:

I am not sure about my rights - anyone been through or know what exactly I could do? If I got another job, could I leave without a period of notice (contract null & void since I haven't been getting paid)? If I left & the company got over this - would I be entitled to receive any unpaid wages, or would I have to give up that right when I leave?

I didn't have any notice that this was a possibility & am not struggling financially. If I got some casual work - what would be the situation with tax?

Any advice is greatly appreciated!

First of all I am amazed that you even feel the need to ask the question. Do you think it's acceptable that a company has had the use of your labour for 2 and a half months and has not paid you?

If you walked into a shop and walked out again with a TV under your arm not having paid you'd be prosecuted for theft.

Employee protection in Ireland is abysmal but not quite as bad as it used to be during the early part of the 20th century. You have freely entered into a contract of employment with the company you work for. They do not own and do not have the right to exploit you.

You should not even consider leaving until you have received every cent you are owed.

A couple of questions:

1) Do you have a written contract of employment (setting out your pay and conditions etc) and is your employer registered for tax. In other words were you being paid "under the counter" or legitimately with all legal deductions (PRSI etc being) made?

If the answer is yes it should be a lot easier to force their hand and get your money.

If not don't despair.

2) Are you a member of a trade union or some other representative body? Do any employees in your company have union representation?

The fact you're having this problem makes me think that the answer to this is no.

My advice (and I'm taking this as a purely hypothetical situation by the way) would be to firstly contact SIPTU at the below address

info@siptu.ie

They will be able to advise you on your right and entitlements. they also might even be willing to take on your case and contact your employer on your behalf.

I would also consider contacting the department of enterprise's employment rights information unit at erinfo@entemp.ie

You can also call them on 1890 201 615.

You are only legally obliged to provide one week's notice to any employer depending on length of service. However, this minimum period can be extended by contract so depending on your specific employment contract you may be required to give 4 weeks etc.

However, I have never heard of an employee being sued for breach of contract for leaving employment without giving the contractual notice period.

I would strongly encourage you to insist on your rights. Your employer is effectively stealing from you. Would you put up with this if it was a friend or family member who treated you in this manner?

Take it from someone who has dealt with situations such as yours on a personal level. You will be screwed by your employer unless you start standing up for yourself and demanding your pay. Don't be afraid to threaten legal action if they refuse to pay up.

Good luck.

RainyDay

Bond-007 wrote:

That scheme only covers statutory redundancy payments and not wages per se.

Not true - I got a weeks wages (statutory notice period, nothing to do with redundancy) paid through this scheme many years ago. From their website;

What can I do if my employer refuses to pay me or makes a deduction without my consent?

In cases of improper deductions from wages or nonpayment of wages, an employee may refer a complaint to a Rights Commissioner under the Payment Of Wages Act 1991. Accessing Rights Commissioner application forms can download the relevant complaint form.