Notice period not being paid out

Ruraldweller56

Hello all,

Looking for some advice from strangers on the Internet. It's usually the best place to be told the truth.

I'm a self employed engineering contractor and I tend work a lot of short term contracts 6 months to a year. It's common enough in todays environment.

I'm nearing the end of my current contract and yesterday I got a call from my agency who told me that, to cut a long story short the firm I'd been contracted into haven't been paying my agency and they were 10's of 1000's in debt to them.

As a result I was pretty much told to pack up, get out of there and go home. I said this to the engineering manager who told me that the agency were just getting stroppy and there was no problem and to basically just ignore it.

Now I'm not pushed either way about being out of work but my contract says something along the lines of 'a months notice by either party' for the early termination of the contract.

When I asked my agency about this I was told this is a unique situation in that the contract was not being terminated by either party. It's a case of having to stop the contract because my employer hasn't been paying my agent.

Is this actually OK? Are they legally OK to let me high and dry all of a sudden on a Friday evening with no notice? I have bills to pay etc.

I'd hate if this was plastered all over LinkedIn or anything. I will be in touch with my solicitor first thing Monday. In the meantime any advice would be greatly appreciated.

Mod, if there's a better place for my post please move it. Ta.

Anthracite

Aren't you actually working for the agency? So they should pay you one way or another I would guess? They are asking you to walk away from the contract with them.

antix80

Read your contract.

I worked for an agency in my current job before being made permanent. I wasn't self-employed.

While it's likely a notice period was in my contract, i only got paid for hours worked after submitting a timesheet signed off by myself and client company.

Ruraldweller56

Anthracite wrote: »

Aren't you actually working for the agency? So they should pay you one way or another I would guess? They are asking you to walk away from the contract with them.

That's exactly what I'd have thought. I suppose we'll have to wait and see what the solicitor says.

Has the agency told you they aren't going to pay you?
Ignore the manager in the contracting company - they are the ones who haven't paid - of course he wants you to come in on Monday.

Ruraldweller56

[Deleted User] wrote: »

Has the agency told you they aren't going to pay you?
Ignore the manager in the contracting company - they are the ones who haven't paid - of course he wants you to come in on Monday.

Oh I'm well aware of all that.

Yes, the situation is that the agency have told me they are not going to pay as the contract states that the ones months termination refers to either me or the hiring company wrapping up.

And that the situation here is different.

Thats what they're saying.

Mrs OBumble

Are you an employee of the agency (as in they pay your tax), or a real contractor (you invoice them, they invoice the customer)?

If the former, they cannot do that, and should have procedures / insurance in place to cover the situation.

If the latter, it depends on your contract. You should be out of luck. Absolutely solicitor time.

OMM 0000

Anthracite wrote: »

Aren't you actually working for the agency? So they should pay you one way or another I would guess? They are asking you to walk away from the contract with them.

This is what I would have thought too.

Any problems the agency have with the employer is between them and the employer.

You work for the agency, so they need to pay you.

I seriously doubt your contract has a section saying "We will only pay you if the employer pays us".

Ruraldweller56

Mrs OBumble wrote: »

Are you an employee of the agency (as in they pay your tax), or a real contractor (you invoice them, they invoice the customer)?

If the former, they cannot do that, and should have procedures / insurance in place to cover the situation.

If the latter, it depends on your contract. You should be out of luck. Absolutely solicitor time.

Yeah. "real contractor". Ltd company. Contract says one months notice must be given by either party eg me or the engineering firm.

What they're trying to say is that in this case neither me nor him have terminated the contract as such.

In my mind the guy I'm contracted into would be liable for that month. But that's between them and the agency. Nothing to do with me.

Ruraldweller56

Thanks for the help lads it's appreciated.

I guess I'll just have to see what my solicitor says.

Only thing is that if I want to go down the legal route the costs could well outweigh the benefits but I'd happy enough to take a hit within reason.

Like I said above it would be a terrible shame if it was plastered all over LinkedIn. But that won't happen for the time being.