Employee Rights During Administration

Summary

When a company enters administration in England, employees rights include claiming unpaid wages, redundancy pay, and notice pay through the Redundancy Payments Service (RPS) if wages are not paid or redundancy occurs. Administrators have 14 days to decide on employment continuation. If the company transitions to liquidation, the liquidator manages claims and assets. Employees can retrieve personal belongings by contacting administrators or liquidators and providing proof of ownership if needed. Early retirement does not affect these rights. Companies are not obligated to provide notice before entering administration. For further guidance, consult legal resources or employment law professionals.

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Can I claim the lost wages before the 14 days? Also what if the company goes into liqudation
You cannot claim lost wages through the government’s Redundancy Payments Service (RPS) until your employment is officially terminated or the company is confirmed insolvent.
If the company goes into liquidation, the process changes slightly:
- Liquidation: The liquidator takes over from the administrator and will confirm your redundancy.
- Claims: You can still claim unpaid wages, redundancy pay, and holiday pay through the RPS.
Would you like guidance on starting a claim?
So basically I won’t get paid on the 8th
If the company is in administration, payment on the 8th isn't guaranteed unless the administrators decide to continue paying wages. If they can't, you’ll need to claim unpaid wages through the Redundancy Payments Service once your employment status is clarified. Would you like help with that process?
I was due to retire at the end of the year
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If you were planning to retire, your rights are the same as other employees until your employment officially ends. If you're made redundant or the company can't pay wages, you can still claim through the Redundancy Payments Service. Would you like help with a claim process?
I was retiring early will that affect anything
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Retiring early does not typically affect your right to claim unpaid wages, redundancy pay, or other entitlements if the company goes into administration or liquidation. Your rights are the same as long as you were still employed on the company’s records. Do you need help starting a claim?
Shouldn’t they give notice before they go into administration
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Companies are not required to give employees notice before going into administration. Administration is often a sudden measure to protect the company from creditors. However, once in administration, employees should be informed about their job status and rights. Do you need help understanding your next steps?
Yes
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Your next steps depend on whether you're still employed or made redundant. Here's what you can do:
- Contact the administrators to clarify your job status and wages.
- If made redundant, start a claim through the Redundancy Payments Service for unpaid wages, redundancy pay, and notice pay.
Would you like help starting a claim?
I have personal items and belongings still in the premises but we were all told to leave early today and it has now been locked up
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You retain the right to collect your personal belongings from the premises. Contact the administrators immediately and request access to retrieve your items. If they refuse, consider sending a formal written request. Let me know if you need help drafting a letter.
What if they go into liquidation and I havnt retrieved my stuff
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If the company goes into liquidation, the liquidator takes control of all assets, including the premises. You should:
- Contact the liquidator to request access to your belongings.
- Provide proof of ownership if necessary.
- Act quickly to avoid complications.
Need help drafting a request?