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not just redundancy but by probable insolvant company...a few questions..

(26 Posts)
AuraofDora Thu 16-Oct-08 18:10:49

dh was told he was being made redundant last week and the company was in trouble financially but they were hoping to secure finance by this friday hmm

it is looking less and less likely this will happen and also means he will receive no salary for this month and he will have to go to govt scheme for redundancy

we still have no paperwork (offical letter, everything has been verbal) from his company regarding his redundancy (we need it to put in place our mortgage insurance) and also to claim via this govt scheme

we feel the company will disappear by end of the week tbh
everytime he goes into office he is fobbed off, oh its in the post, will call you later etc
he is not confrontational by nature but i am beginning to wonder if there is another reason they may be doing this or is it simply that they dont care?

also, does anyone have any idea how long the government scheme takes to cough up as we are high and dry til they do?

any advice would be much appreciated..

AuraofDora Thu 16-Oct-08 18:59:46


sadbarratthomeowner Thu 16-Oct-08 19:07:55

Hi - was just talking about this at work today, sorry that you're going through it.

This may help - it specifically deals with insolvent companies and there are several helplines. It sounds like you have to apply in writing for your redundancy from the company/receiver if they become insolvent and you haven't anything official.

AuraofDora Thu 16-Oct-08 19:15:53

thanks, will check it out..your name made me laugh!
it's been a long week!

just dont understand that they have had all week to give us a letter and let us try and sort things out

his boss is more concerned that his email wont work when this office goes, (they have an office abroad too), rather than help any of us out..

also interested that they have a foreign office who dont seem to be affected by the insolvency.. would have thought it would be the whole company or nothing..

sadbarratthomeowner Thu 16-Oct-08 19:23:55

You have to laugh or you'd cry! It sounds like it's a waiting game....

AuraofDora Thu 16-Oct-08 19:24:09

anymore advice, very welcome..

LadyLauraStandish Thu 16-Oct-08 19:25:38

The Insolvency Service leaflet

A Guide for Employees

AuraofDora Thu 16-Oct-08 19:27:49

oh i know
its a full time job staying positive! esp when ds (4) talks of credit crunch!
i cant even listen to the fecking news anymore..

just wondering how long we have to wait for some cash and not answer phone put off our creditors for, and still havegas elec roof and a few crumbs!

AuraofDora Thu 16-Oct-08 19:29:31

thanks ladylaura
will check it out

Wheelybug Thu 16-Oct-08 19:29:48

Aura - the o/seas office might not be effected if its a separate company.

I used to work in insolvency but a few years ago so am a bit rusty but until someone comes along who is more up to date here's what I know.

The government scheme will take a while and does suggest I think that there is some sort of insolvency in the offing. It does depend what sort of insolvency as to his position. The government scheme will not pay out all his outstanding pay - they have weekly limits which I'm afraid isn't very much. In some forms of insolvency there is now a 'ringfenced' amount which gives a proportion of any assets to the employees.

If funding was supposed to be in place tomorrow then you may well here more tomorrow as they may then appoint administrators/liquidators etc.

Sorry this isn't cheerier news. Hope you get some better news !

flowerybeanbag Thu 16-Oct-08 19:33:33

Sorry this is happening Aura.

Sometimes deals are struck at the last minute and you do say they are hoping to secure finance by Friday. Where there is still even a small hope of doing that, they won't want to issue final paperwork confirming redundancies etc, as it might not be necessary. They can't have people running off to claim off their insurance and to claim government redundancy money and then suddenly finance is agreed and it's all off.

Obviously I have no idea how likely that is, but it could be a very valid reason why they are not issuing letters yet.

Having said that, if that's the reason I don't know why they just don't say so tbh, and it certainly doesn't sound as though they are being as helpful as they could.

In terms of the government scheme, I don't know, although 3 months rings a vague bell, from time of putting in the claim. Sadbarratt's link is excellent explaining exactly what your DH can claim and how much.

AuraofDora Thu 16-Oct-08 19:39:03

wheely thanks..
oh am get used to the bad news! so tell me straight, is a while maybe.. 6 weeks / 8 weeks/ 12 weeks??
i guess they are busy right now anyway..

in a way it would help if it did wind up tomorrow as we could start a claim for unemployment benefit and get the ball rolling cash wise and know where we stand..
(we just came back v skint from holiday when the news came through..)

the last we heard yesterday was they were trying to stave off insolvency by joining with another company (long shot dh reckons) or just keep it afloat but not pay anyone hmm
they dont seem to be in the real world
this was our only income not a hobby!

interesting that the foreign office will be okay, but dh says the email will still go down!
am pathetically pleased about that blush

AuraofDora Thu 16-Oct-08 19:44:33

i havent explained myself well, even if the finance comes through dh is still being made redundant..
but we would of course be paid at end of the month and get his redundancy from them which would go along way to helping us sleep at night..

3 months <faints>
oh well will disconnect the phone, hit the decks when the bell rings...
we will just have to explain nicely i guess what is happening..we cant be the first to have to do this..

crikey its bed time better go n do a story

Wheelybug Thu 16-Oct-08 19:45:11

Can't recall how long but I would imagine it would depend on how busy they were rather than a set time.

Fingers crossed for tomorrow then and that they find a way out of the mess.

flowerybeanbag Thu 16-Oct-08 19:52:10

Oh I see.

Well in that case they should be giving him a letter then, although they may be holding off as what they put in it might be different iyswim? Not saying that's acceptable, but that might be the thinking - not wanting to have to reissue it should things change by the end of the week.

Don't quote me on the 3 months, it could be a lot quicker, I don't know at all, that was just ringing a very vague bell as reported by someone on here who had been through it.

However long it takes, you will know quickly how much you should be able to claim, and it's money that's definitely coming, so hopefully you will be able to explain that to mortgage company or anyone else and hold them off for a bit.

AuraofDora Thu 16-Oct-08 19:58:14

just concerned that they will not be there after Friday and we have no documentation etc
but i see that we can proceed without it..
it would just have made things simpler to have had it in first place..

dh has roughly calculated it up, not exactly a fortune but cant sniff at it either in this situation

thanks guys muchos gracias

sarahandruby Thu 16-Oct-08 20:26:41

Sorry to hear your news AuraofDora. My company went into administration last week and this week we were told not to come into work anymore. I guess I'm just lucky I'm not the main breadwinner, like some of my other workmates. I really feel for you. I have my fingerscrossed your hubbie gets a new job soon.
Take care

AuraofDora Thu 16-Oct-08 21:13:00

thanks so much..we are trying to be positive about it all.. opportunity to re-train increase skills perhaps, oh, we'll laugh about this in years to come hmm..
but it is truly very scary and it hurts to see ds's eyes well up and cry over his daddy's job! its all wrong!
(we have tried to keep it from him as much as possible, but hey, he noticed he wasnt going into to work in the mornings)..

i hope you find something suitable too, its an awful thing to have to deal with..

ds is off to school this jan so it means we can both look for work and share the childcare, options are open...

positive vibes n all that smile

AuraofDora Fri 17-Oct-08 23:01:52

well, it's looking pretty grim
we cant really get an answer from the company about state of play, suspect there is no finance but surprise surprise no documents in the post...

contacted mortgage insurance, they need a letter stating date of redundancy so we cant get that rolling yet

Why will they not give us a letter stating what has been told verbally?

the few remaining members of senior staff and the consultant bounce us around to each other constantly and ignore emails and calls, say they will ring back and never do...
i cant figure out why they will not state in writing what has been told to us verbally..
i thought you had to give written notification of this at the time??

Strongly suspect the company will not be around next week and am completely frustrated at being treated like this..

dh was advised by dole office not to sign on unemployed as any right to redundancy would be gone then but we are gonna not have any money til..gulp January!!

please, can anyone explain?
is it just human indifference? or a financial reason they would do this to us?

rant over, but sadly it doesnt feel any better

flowerybeanbag Sat 18-Oct-08 08:43:41

I can't think of any financial reason they'd do this off the top of my head Aura. I suspect they are in a bit of a state themselves and don't know exactly what to say and haven't got anyone competent dealing with the situation. No excuse but I expect it's that, without being able to think of any specific benefit for them in doing that.

Wish I could say something more to help.

AuraofDora Sat 18-Oct-08 12:53:15

thanks fbb, was just having a rantette cause i dont really know what else to do atm

sadly, i do think it could be one part incompetence, one part indifference...dh being mr.laidback doesnt help, has swallowed all the 'we'll call and let you knows' 'oh its in the post' 'didnt blah blah email you yet?'.. since this situation arose

i feel like wielding a base ball bat if they are still in existence come monday..

we just want to move on and get some sort of ball rolling before all the direct debits spring into action end of the month..

i think all the people left have apartments and houses they let out so have some form of income, and perhaps savings..
we were hand to mouth before this so no amount of eating chickpea budgeting is gonna pay the bills..
unless of course i can pay in chickpeas grin

sep1712 Sat 18-Oct-08 16:26:52

Hi Aura

I'm sorry to hear your news.
We're going through the sam sort of thing at the moment but luckly DH has found another job.
Ex employer wasn't aware he would need to pay redundancy!! So we sent him a letter last week stating what the entitlement are. Gave him a dead line for the end of the month to reply or we'll go to tribual. All the info is on govdirect. Citzen's advice are very good aswell.
Good luck with your claim and hopefully he'll fine something else when this is all sorted.
Unfortantly for us the news came after i had just given up a well paid job to be with the children! His new job is monthly pay so very hard up at mo!!! I have got myself some hours working nights to try and keep the wolf from the door!!
Good Luck Keep all informed of any news. (Hopefully good)

AuraofDora Sun 19-Oct-08 14:43:34

thanks so much for your post, am so pleased that things worked out for you guys, in the end, at least, i can imagine the stress though til things worked out!
am so pleased your dh got new job this is the sort of thing i need to hear at the moment smile..

situation is a bit odd with dh's company, they verbally made him redundant but no paperwork so we are stuck and cannot claim anything including our mortgage insurance..
his company know that he is due redundancy but probably wont exist next week!
it seems they have a complete lack of indifference concerning us which feels like a real kick in the guts!
We know he will not get his salary this month..
dh is back off the citizens advice tomorrow, and we are hoping they will have some good advice for us
fortunately we have overdrafts but am mighty scared really...

sep1712 Wed 22-Oct-08 00:49:43

Hi Aura
Hows it going?
Any news?

AuraofDora Thu 23-Oct-08 10:57:23

hi Sep1712!
thanks for asking! quite a lot...boss has been in touch from asia, where he fled too! he is terribly sorry hmm and also wants IT advice hmm angry..

we now have an email stating dh is redundant which has enabled us to try and claim mortgage insurance and benefits..spent most of this week filling in forms etc..
just want to secure our home and get a little breathing space really..
strangely upbeat in the face of it all, scared that the black dog will descend on one or both of us soon but seem to be holding it together and tossing around all kinds of work possibilities, incl training, moving...

his ex-company is in dire straits and really no longer exists leaving unpaid staff and tons of bills left right and centre, maybe even putting other companies in jeopardy, whilst his boss hides out in asia, concentrating on his company out there (that does exactly what the uk one did but is separate for tax and liability reasons) ..its really wrong and makes me so angry...

rantette over..ah, that's better!
thanks for your concern!
Hope you guys are well too, & enjoying autumn and the odd sunny day we get..

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