What happens when the company cannot make payroll?
Asked by beingsmartisrelative
I am currently working for a company that is having a hard time paying me. I don't know how I will pay my bills and I have excellent credit. The owners of my company have terrible credit and I guess they want to bring me down with them. I know I need to find a new job but that will take time. What should I do in the meantime? Could I go down to the Unemployment office to collect? What happens if they will be able to pay me in 2 weeks? Also, I how would I address what happened with a potential employer during an interview? I have heard that it is not a good idea to tell the future employer that the reason why you are leaving is because you are not being paid. Any suggestions would be much appreciated. Thanks.

Best Answer:
Go to Google and type in "wage and hour law" and the name of your state. Most likely the first result will be the Dept of Labor for your state (some states call it different things - email me if you need help). Here you will find out what the laws are regarding paychecks, pay days and final paychecks in your state. I would then have a heart to heart with your direct manager - let them know that you need to be paid appropriately and according to the law or you will be seeking other employment. Be assertive and professional. No one works for free and everyone has the right to be paid for work performed per the law of their state. During an interview and on applications I urge you to be honest but professional. Simply say what you enjoy about the position and then add "unfortunately the company is having such significant financial problems that they are unable to provide full, regular pay checks for work performed". Anyone in their right mind will understand why you are looking for a new job my friend, even us cranky HR folks!! Good luck to you.

the first time an employers check bounces, I would bounce myself rite outta there!
Answered by latrailera2000

If you are not being paid on time you can file a complaint with the age and hour division of your local Dept of Labor office (www.dol.gov) However, that doesn't solve the problem of the company not having the funds with which to pay you. Yes, find a new job ASAP. You cannot file for unemployment until you are actually unemployed - however, if you decide to quit, your reason for quitting (not being paid) is a legit one and you may win a UI claim for that reason. I'm not sure who told you that not being paid isn't a good reason to quit a job, but it's certainly good cause from my standpoint. I'd quit, too! Best of luck.
Answered by Mel

Reason for leaving previous employer: We had creative differences, or I did not like the path the company was moving in. As for you cash, you have every right to go to the unemployment office and file for benifits on the basis of you are not being paid as agreed at time of hire. This legally constitues a breach of contract on the employeers part. You have every right to quit as well, but get a statement in writing from the company that they cannot pay you. to prove your case. If they cannot or refuse you can always report the employeer to the employment commission (also known as the Department of labor) if you are the only one not being paid this is also discrimination charges that must be filed. Hope this helps at the bottom here is the Dept. of Labors website
Answered by cisco_cantu