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Company wont pay me redundancy money and are not insolvent. HELP!

5 replies

stuy2j · 31/03/2009 22:37

im going to an employemnt tribunal on the 8th april the company owes me 3 weeks pay for redundancy as i worked for them for 3 & 1/2 years they also owe me 3 weeks notice pay as they let all us go without notice, and 9 days unused holiday pay, totaling over £4K they are not insolvent and they also have assets including vans/cars plus equipment worth thousands of pounds. but i dont know how i can prove this to the tribunal or if they will even ask for this information. Can anyone help with this?

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MrsFogi · 31/03/2009 23:20

I don't think it's for you to prove whether or not your company can pay you. I'd concentrate on your case for the redundancy pay and notice pay. Tribunal will then make an award. If the company doesn't pay you'll then be looking at enforcement but I don't think you need to worry about that at this stage.

southernsoftie · 01/04/2009 09:46

Was it a genuine redundancy (ie has the amount of work needing to be done diminished or does it now need doing from a different location?) Were you given any consultation? Were there any other jobs that you might have been able to do for the company and were you offered the chance? If the answer to any of these is no you may have been unfairly dismissed. Are/were you in a union as they will be able to advise on what you can claim or if not make an appointment with the CAB as they will be able to tell you what you will need to be able to prove etc.

Has the company given a reason for not paying you? If they are claiming insolvency they will need to have appointed an Insolvency practioner so ask for that person's name so that you can get more info about the financial position.

stuy2j · 01/04/2009 22:34

the company just ceased trading i was given about 1 hours notice by phone. No consultation. They are not insolvent they just decided to wind the company up.
The real reason they have not paid me redundancy is because they do not want to part with cash and they have been advised by account of how to get out of this and it seems to be working. They have since set up a new business and and say they have no prospect of paying redundancies, this is why i asked about the company assets because this gives them prospect to pay. Its such a poor process just when you need help the most it takes 5 months just to get it to tribunal then they dont even have the power to enforse any award made to me and i cannot claim from the national insurance fund as its part of the insolvncy service. It all works out in favour of the employer in the end. If anybody knows any different please help, any advice would be helpfull! Thank you

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flowerybeanbag · 02/04/2009 09:10

stuy2j this is a bit complicated legally. It can be an offence for directors to deliberately wind up a company to avoid paying their debts so there are potential actions you could take once you have your judgment. I think your best bet is to go and see the CAB and get them to talk you through it. I think if they help you word a stroppy letter to the directors pointing out their liabilities that might be your best bet.

stuy2j · 02/04/2009 20:11

thanks for you help ill get on to the CAB after i have a judgment and take it from there.

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