Help! 5 months pregnant, employer is about to go under

[essexanon]

Hey guys,

Im 20+2 today (due 03.08) and have just been told that from next week everyone needs to take a 20% cut in salary because we are struggling as no one is paying us due to Corona.

BUT they have said that if the country goes into lockdown by the government, then they will have to fold the business.

What does that mean for me in terms of mat pay?
if they fold within the next few weeks, I wont get mat pay will I?

The earliest I can go on mat leave is the 7th June.

What happens if the company goes under before then? I don't get any maternity pay?

I don't think were entitled to any benefits, we own our own home, hubby earns 36k but he cant afford to pay all the bills let alone food.
we would of JUST scraped by with me on mat leave with saving before hand.

God ive never felt so anxious about being pregnant.
I just want to cry and vomit at the same time.

xx

You'd be entitled to Maternity allowance pay which is the same amount as statutory (£143/week) but not the enhanced pay you would have got from your employer

How long have you worked for the company - will you get a redundancy payment?

If it happens then you should qualify for the 3 month mortgage holiday for those affected by the virus

@itwasalovelydreamwhileitlasted ok so I don't get the 90% of my salary for the 1st 6 weeks?

ive worked here for 5 years, but I didn't think they had to pay redundancy If the whole company goes bankrupt?

If the company is insolvent and don't have the funds to pay redundancy you can apply to claim from the government for

•a redundancy payment
•holiday pay
•outstanding payments like unpaid wages, overtime and commission
•money you would have earned working your notice period (‘statutory notice pay’)

I think its the called the national insurance fund or something like that. It will be statutory redundancy so 1 week for every year but it would be tax free.

Hopefully with that, plus the maternity allowance you should be okay.

Also, I wouldn't panic just yet the government are announcing plans to support businesses and I know banks are really trying to support smaller businesses through this.

Good luck.

thanks @lh1987 that's really appreciated. I cant really get my head around too much right now, my heads all over the place.

that's made it clear for me, fingers crossed we can get through this. xx

Just to add in about the three month mortgage holiday that homeowners are being offered if they're struggling.

Sorry you're having to process all of this right now

thanks @mummymilla ive been on hold for over 2 hours trying to get through to Nationwide regarding my mortgage... x

@essexanon
I wouldn't bother calling nationwide today - it's the first day after they made the announcement and technically and legally you aren't unemployed yet so they will most likely say you can't apply for it yet

And no you won't get 90% of your salary for the first 6 weeks that's only paid via Maternity leave NOT maternity allowance

thanks@itwasalovelydreamwhileitlasted for the clarification, x

Just to add, if the company does go insolvent, you should be considered what is called a preferential creditor so they will have to pay you your redundancy before other creditors. It is likely you would get it from the company. In terms of SMP, I think it is likely in addition to redundancy you should be able to claim this from the government. Its totally understandable you are panicking but things are not nearly as bleak as they may first appear!

Thank you @lh1987 yes things seem really crap and bleak at the moment, hopefully as the days go one, itll become clearer to be and I can calm down at some point xx