[Closed] Work gone bust

Awful when it happens, hope you get something soon

Sorry to hear that. Who told you to go home? Director or administrator? I assume the administrator but they should have given you more guidance as it sounds like you’ve been made redundant with no notice. You’ll have a claim against the company that the administrator will deAl with eventually but you also should get some money sooner from the insolvency service. Also, sign on unless you’re absolutely nailed on for new work. If anything gets delayed you’ll have a small buffer from them. More here:

NB I’m no expert but have been through this twice before...

MD told everyone to go home. No written notice of anything, no written mention of redundancy.
Nothing at all in writing in fact other than an email from him stating to go home, then another at 4:40pm today telling us who the administrators are. Communication from the actual administrators has been nil.

Thanks for the heads up on signing on, I'd looked into redundancy/unpaid wages/loss of notice etc but hadn't seen that they deduct money off you whether you claim it or not. I have a phone call for a job tomorrow, depending on how that goes will decide whether I sign on or not.

What is your line of work OP.

That’s bad news mate, hope you get sorted quickly.

My brother in law is expecting the same.

Plumbing & Heating merchant, I started on the counter for a national company 15 years ago. With this company it was a bit of everything, most recent was implementation of a new computer system.

As per jkomo what line of work are you in?

And location..

North East

Sorry Matt just crossed lines, if you had said electrical engineer, I would have a well paid position for you in Liverpool

Good luck OP
After an audiologist in Oxford.

I am neither of those things but it's always good to see people on here sticking together. Thanks.

Would mods make this a sticky and change name for it to reflect job search?
Good luck in your search Matt.

Crack on and fill this out now; you don't have to persue it if the new job interview works out - but every day you leave it is a day of support, you've paid into, missed out.

https://www.universal-credit.service.gov.uk/

Good luck tomorrow 🙂

It's a shitty situation - both myself and one of my stepsons have had something very similar happen to us over the last couple of months.

O/P - you know who the administrators are and the individual responsible for managing the liquidation? It can work to contact colleagues, organize yourselves and maybe approach negotiation as a group?

I had this 3 years ago. Out of the blue I was told to go home, and never went back.

The administration was handled by KMPG so was a shitshow. We took them to court to cut through the lies they told.

I got a better job, for a better company. It honestly was the best thing that could have happened.

Hope it all works out for you. Ride your bike, stay positive, find something new.

If it helps, the insolvency service were quite efficient at paying claims for loss of notice, unpaid wages and unused holiday when the company I worked for was made insolvent (i hadn't been there long enough to claim for redundancy)

+1 for Insolvency Service.

Efficient, fair and fast.

You need a reference number from the administrators, then you can get claiming.

Happened to me 6 weeks ago....

If you've been there for more than 2 years you are entitled to Statutory Redundancy, which is 1 weeks wages (capped at £525) for each full year you've worked there under age 42 and 1.5x that for each full year over age 42. This is paid by the liquidator even if the company has no money etc, just comes from HMRC. The Liquidator should give you the details, you need the liquidation reference number to claim online. We all got ours in a couple of weeks.

Also sign on for JSA / UC asap as they don't pay the first week and your claim starts when you apply not when you were made redundant.

As for loss of notice, that is normally a second claim which you can only apply for once your notice period is up, eg I have to wait 3 months. Can't recall how much it is....

Also sign on for JSA / UC asap as they don’t pay the first week and your claim starts when you apply not when you were made redundant.

+1, the system tells you that you can back claim it, there's a form (of course there's a ******* form), but it just generates a 2 page computer generated letter saying no.

Do it now, best case you get work and it's not needed, worst case you're a few days/weeks ahead in the system (it's a useless and worthless system, but it's a system).

Sorry this won't help the OP but it might help someone else, we're looking for some C# and C++ Devs a bit south of Leics

https://www.intercede.com/

Waiting days for UC were abolished a couple of years ago.

ignore me. wrong company.

The difficult bit can be if you are sent home but not yet officially redundant. We had 3 weeks between being sent home and actually being formally made redundant. So there was nothing we could do in those 3 weeks

The difficult bit can be if you are sent home but not yet officially redundant.

Pretty sure you can still sign its just that the process might be delayed until you have all the paperwork.

To be honest signing up for benefits was a waste of time. They do grudgingly give you £70-odd a week, but this will be deducted from your final (in lieu of notice) payment. And the hoops some Job shops make you jump through is absurd.

But it does keep your NI contributions up to date, so you choose.

To be honest signing up for benefits was a waste of time. They do grudgingly give you £70-odd a week, but this will be deducted from your final (in lieu of notice) payment.

It will be deducted whether or not you claim it, so you may as well claim it.

UC claim is in. Managed to get some of the heftier bills deferred and arranged an extended overdraft to cover the smaller ones for the time being.

Still nothing official from work or administrators on notice/redundancy etc. but we do have it confirmed that nobody is going to get paid. Some of the lads have jobs lined up already. I'm still waiting on calls from a couple of people.

Had planned on going for a ride tomorrow until I realised it was Saturday so got to do family stuff.

Chin up mate, guarantee something will turn up somewhere. If any of our lot can do anything to help you only have to ask.

northernmatt
Member
So as of yesterday morning the company I work for are in administration. They had planned on it being a pre-pack but it looks like that won’t happen as suppliers were in at 7am to see what we have that they think belong to them. Got sent home at 3pm and told to stay home.

I’m not bothered who owes who what, as it’s looking increasingly likely that no-one will be getting paid this month as promised so I’m going to have to ring round and try and defer payments on things sharpish.

Had a nice day today loafing about, trying to fix the car (wiring issue 🙁 ), went for a walk in the park with the wife and youngest. Luckily I have a couple of things lined up already but they aren’t guaranteed.

Go and sign on tomorrow if you've not already, cause when you claim your redundancy from the government, they'll deduct the amount you should have claimed if not. (they'll all deduct money from your redundancy if you get a new job quickly as well btw, so if you can defer payments from any new job tell after claims are sorted. do that too.)

The government claim comes in 2 parts, RP1 and RP2, ones for a loss of earnings, holiday pay and notice money, and the other is for redundancy.

It's only statutory amounts you'll get though, but you will get it. I'd what was owed in my account about 1.5 then 3 months after claiming.

I'd ring the liquidator and ask if they want to employ a consultant who knows where the bodies are buried. 🙂

Good luck.

If you're in a Universal Credit area you can't sign on, you need to claim on line. If you have a partner they will also have to make a connected claim. Follow the instructions, my first claim was closed after 30 days with no warning as my wife hadn't made an appointment at the job centre even though she was in full time work and we thought I was the one making the claim.

Forgive me for not really adding much, but telling a half amusing story from when my previous employer went into administration. It got bought in a pre-pack but the process and aftermath damn near put me in an early grave. I bailed not long after.

Anyhow, being totally inexperienced in this sort of thing I was lucky that I worked with a pretty pragmatic bloke in an equivalent role to mine. When our FD (who was one of the management team who lost control of the company and put us in that situation) took us to one side after the announcement, he asked us what we thought about the situation and what our next moves would be personally. I didn’t really know what to say, but my oppo seized the moment magnificently.

Him: “Tomorrow (Friday) is pay day, isn’t it?”

FD: “Err, yes....”

Him: “Well, I’ll be checking my bank account over the weekend and if my salary isn’t in there, then you won’t be seeing me again until it is”.

He stopped just short of pinching the FD’s cheek and wobbling it.

I feel for you OP. Get your CV up to date ASAP and get out there.

Slight update.

So work didn't actually go into pre-pack administration last Wednesday we just got sent home "to protect us and the assets of the business". Now a week in with little to no confirmation of anything other than it is highly likely we will not get paid this month and that they have now appointed an administrator today (17th). If their 2 week pre-pack period starts today that now means further limbo until 31st March.

Apparently there is also now a potential buyer for the business which adds even more uncertainty. I have an inside line on who the buyer is and they aren't interested in anything other than the stock and assets. The staff are just being taken along for a ride and the longer this drags on the harder it is for anyone to move on as it's impossible to say yes to another job as we can't give them a definite start date.

I have someone contacting me with a potential job offer tomorrow and I have got no idea what to say to them regarding when I can start because I don't bloody know.

On the plus side I baked a loaf of bread this morning so I don't have to go hunting for it in Sainsburys.

If you get a job offer, just remember a bird in the hand is worth two in the bush.

Job offer take it.

Then look at what's possible to claw back.

Sounds harsh but just look after you.

You can start tomorrow.

You owe them nothing. If they were paying you it would be different, but they aren't.

Also, tell them nothing; it's no longer their concern

Take the job, you can start immediately.

While admirable your loyalty to your old employer is misplaced, look after you and yours in this instance.

As others have said, in this situation you need to make sure you're okay especially in the current climate and whats going on.

If you get the job offer then take it. Unfortunately in this day and age being loyal doesn't tend to get you far.

Focus on who is paying you for next week rather than chasing after who didn't pay you for last week.

I have someone contacting me with a potential job offer tomorrow and I have got no idea what to say to them regarding when I can start because I don’t bloody know.

+1 to take the offer and start immediately.

What would stop you taking on the new job?

In the event that it does go bust, you'll be made redundant and will get statutory.

IF the company gets taken on by the new party and they just take the stock and you'll get statutory from the crash of the original company.

In the unlikely event they take it on as a going concern and you do get TUPE'd across, you will lose out on the possibility of any redundancy but they'll probably wheedle out of paying you a redundancy somehow.

Take the job

Everything Speeder said but someone else said You don't owe them anything ... I'd just point out even if you THOUGHT you did THEM isn't THEM anyway... so IMHO you owed them nothing and you own whomever may take over less than nothing... you seem unlikely to get a redundancy payment worth jack but as someone else already said A bird in the hand... and on balance.. one pays the bills, the other might but probably won't get you a small cash bonus...

If the job offer falls through there's shed loads of temp supermarket jobs up for grabs just now to cope with the panic. Also Royal Mail require delivery drivers for Easter pays good at £11 an hour plus benefits.

Good luck

Royal Mail require delivery drivers for Easter pays good at £11 an hour plus benefits

Such as tenners that fall out of cards?

New job = still no news, they have just started work from home for their entire workforce so everything is a bit up in the air with them at the moment. I have had a phone conversation with someone today, he has a meeting lined up with their high ups tomorrow about it so I should hear something after that.

The loyalty thing, I have no loyalty to old/current employer whatsoever. It's been a shit place to work for over a year to the verge of me nearly walking out a few times. I have a deep seated loathing for the MD, I wouldn't piss on him if he was on fire. The only reason I stayed is because I have bills to pay, I could have gone elsewhere but I was looking for a way out of the industry.

The only thing I am worried about is any potential (statutory) redundancy payment, if I quit and go for the new job immediately I would be walking away from just over £2.5k. I have spoken to the administrators personally and they are no gearing up to get full details out to everyone. I know it sounds shit but I hope the potential buyer falls through, they'll only want to strip the assets and close it down anyway.

Should hopefully be fully clued up on exactly what is happening early next week.

Just because you've started a new job doesn't mean you've quit the first one. Who are you going to send a resignation letter to anyway?

Sorry to hear that OP, it's a bit shit.

I would also take the new job and start as soon as all the paperwork is in place i.e. get a contract and get it signed, then agree start date and hand in notice with effect from new start date. Your old employer might even be gratefull you have left - if there not they have much bigger problems in any event.