'Bouncing' Redundancy cheque...

Tricue

Help please,

I'm looking for peoples opinions on what I should do next...
I was very recently made redundant due to a 'downturn in business?' - the company is still trading - it is an SME Family run.
I received my RP50 and a cheque for my statutory entitlement. I lodged the cheque 2 days ago and went today to collect my P45 today as my employer 'didn't have it ready' when I finished.
My employer has just told me that the cheque will bounce and I'll have to go back in to them next week and re-fill in the form to claim from the social insurance fund. I feel very let down by a company and people that I've worked with for 10 years.
I really would like to hear from anybody else that similar happened to and what was the outcome. This company is still busy and 'my boss' even had the audacity to ask my opinion on a business problem after telling me the cheque would bounce!

gerrycollins

You personally cannot claim from any social insurance fund(lost wages or redundancy) and neither can your former boss as the company is still trading.

Your boss has to pay you the money but he can make a claim against 40% of the value of it against the social insurance fund but you help him here by signing the RP50 for him to go and make the claim.

As it stands the company would have to show a zero bank balance and be ceased trading with all employees made redundant for your redundancy to be fully claimed from the social insurance fund.

Contact NERA and also ask them if you can go to the rights commissioner(fat lot of good it will do) with this.

wmpdd3

Def get some advice from NERA or the citizens advice. It looks like the company cancelled the cheque so they could wait for a payment from the social insurance fund.

Tricue

Thanks for the replies...
I have been in contact with NERA AND Citizens advice. To be honest, neither really gave me any hope of getting the money in the short term but what is really bugging me is that it looks like this was my employers intention all along. I know, its probably naivety on my part but I thought there might be someway of protecting the employee but it seems not! 10 years of working for these people and I'm basically scammed and on the same day they scam me they pay for their biggest shipment in years! I do intend contacting a solicitior on Monday. The money is now in my account but I presume it'll be removed next week.

tenchi-fan

The fact they wrote a cheque means you're probably slightly more likely of getting the money in the event of a liquidation.

gerrycollins

Tricue wrote: »

Thanks for the replies...
I have been in contact with NERA AND Citizens advice. To be honest, neither really gave me any hope of getting the money in the short term but what is really bugging me is that it looks like this was my employers intention all along. I know, its probably naivety on my part but I thought there might be someway of protecting the employee but it seems not! 10 years of working for these people and I'm basically scammed and on the same day they scam me they pay for their biggest shipment in years! I do intend contacting a solicitior on Monday. The money is now in my account but I presume it'll be removed next week.

it can take 3days for a cheque to clear so I wouldnt touch the money just yet however after Tuesday you might be ok good luck.

you can also start a tribunal with the rights commissioner however it takes ages to get started and its not legally binding however its a start,most courts would look at this been an obvious starting place as an attempt by you to use every avenue before actual court.. I would get to work on the paper work and rattel their cage at least.

Milk & Honey

You can sue on the cheque. If the cheque was given to you in the certain knowledge that it would bounce, a criminal offence may have been committed. Complain to the Garda but don't hold your breath. they tend to give the brush off to complaints like this.
You can also threaten to petition to wind up the company in the High Court. I know a lad who sent a 21 day letter to the company threatening to wind them up when they wouldn't pay money owed to him. They paid up the next week.

ZENER

Tricue wrote: »

. . . . The money is now in my account but I presume it'll be removed next week.

Pardon my naivety here but what's to stop the poster moving or withdrawing the money and closing the account before it's taken back ? Am I missing something ?

Ken

TwoShedsJackson

Tricue wrote: »

The money is now in my account but I presume it'll be removed next week.

Remove it immediately yourself, and let the bank chase the company for it.

testicle

TwoShedsJackson wrote: »

Remove it immediately yourself, and let the bank chase the company for it.

It doesn't work that way.

gerrycollins

ZENER wrote: »

Pardon my naivety here but what's to stop the poster moving or withdrawing the money and closing the account before it's taken back ? Am I missing something ?

Ken

the bank will just leave the OP's account overdrawn and get your self in more trouble judging from the sound of it 10 years redundancy at statutory payment is a big enought figure that you dont wast to get overdrawn on.

Al Capwned

This is no help to you, but just a point of information.
It's illegal to write a cheque in the knowledge that there are no funds in your account to ensure it's paid!

tenchi-fan

alproctor wrote: »

This is no help to you, but just a point of information.
It's illegal to write a cheque in the knowledge that there are no funds in your account to ensure it's paid!

It's one thing to bump an old thread.

It's another to bump it to add incorrect information.

Shelflife

Techi fan, its my understanding that the laws on this were changed recently to make it a fraud offense to write a cheque that you know cant be honoured!

Mrs OBumble

Linkies please ...

Al Capwned

JustMary wrote: »

Linkies please ...

http://www.independent.ie/national-news/customers-bouncing-cheques-now-face-jail-142546.html

Like I said, illegal.

Al Capwned

At Galway Circuit Criminal Court, one of the country's leading senior counsel, Martin Giblin, observed that it would come as a surprise to many people in business in Ireland that it was now a criminal offence to sign cheques when there were insufficient funds to cover them.

Mr Giblin pointed out that previously, many people wrote cheques on the basis that future cash flow would be used to discharge the outstanding amount.

"But those days are gone and it's probably a good thing that they are gone," said Mr Giblin.

from the above irish independent story......

Al Capwned

Also here....

http://www.boards.ie/vbulletin/showthread.php?p=73317084

tenchi-fan

I stand corrected

I learned my rules from Business Studies Leaving Cert 1999