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Ask HN: Company not paying salary on time, what to do?

10 points by Techasura ↗ HN
It's been 2 months since i joined a local startup. I joined the company at the end of January. For the first month, i got my salary during the very start of march, that too on forcibly mailing and chatting with the company. Now, for the second month it was delayed for 17 days before i got the salary. As an employee, i would want to quit the company based on these problems and would like to quit as soon as possible without serving notice period. Now, i'm being threatened from the employer saying he can sue me for not serving my notice period. It states in the offer letter that, "Your services shall be terminable by either party giving the other two months’ notice. Company may, however, reduce this notice period at its discretion by accepting basic salary in lieu thereof." So, based on the statement the company can take the salary for the current month and relieve me, if i'm not wrong. However, offer letter sent was sent to me as a soft copy to my mail during the start, nothing practically signed. Even at that point, to get the offer letter from the company, i had to mail them constantly to get one. So, the Director of the company is using abusive words on me and threatening me for my relieving. Just wanted to know, What are the legal protection i can get?

12 comments

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1123581321
I'm not your lawyer and I don't know where you live. However, I suspect that your employer will have no standing to sue you and at best can deduct notice pay from salary you haven't yet received, which you probably won't receive since they're going out of business or incompetent.

However, please talk to a lawyer in your area about this. My post is meant to do nothing other than encourage you to find out your rights and the practicalities of the situation and take care of yourself.

Techasura
well, he is cooking up stories that i signed the offer letter which i never signed.
1123581321
Again, this is a legal law issue and depends on your jurisdiction, but his case goes nowhere even if you did sign.

Keep in mind that in many places, your employer is in serious trouble with the Labor Department or equivalent if he does not pay you. Any legal action to obtain the salary in lieu, even if successful in collecting it, would be wiped out by fees, fines from the DoL and his obligation to pay you.

rex_gsd
For a written contract to be valid it needs to be signed. If you never signed any contracts you have no employment contract for him to base any legal cases against you on.

What country is this?

caseyf7
If you're in California, most of the conditions in the offer letter are unenforceable anyway. You can quit without notice.
staunch
If you're in the US:

1. Document everything. Print out all communication.

2. Resign in writing, print out the email you sent.

3. File an unpaid wage claim for any salary they refuse to pay.

4. Get a new job.

They won't get anywhere trying to sue you. You, on the other hand, will have a much easier time collecting unpaid wages. Google "unpaid wage claim" for your state.

Please note: I am not a lawyer. This is not legal advice.

andymoe
What state or county? Your employer is likely full of it. If they can't pay you they are going to have a difficult time paying their attorney to sue you and if there is a labor board report them ASAP. If it's me I resign in the morning but others are right that you should get some real legal advice but you say you signed nothing so I'd consider that at will employment myself :)
restlessmedia
I had this in a previous employment. It's likely they haven't got the funds to pay you so you need to get out.

Check your contract, if you don't have one they don't have anything on you. If you do have one, check conditions. Just because they aren't playing ball with your pay, doesn't mean you can just leave.

In all cases, send them a written letter giving your notice (in sickly nice pen) and count down the days.

incawater
You should strike or You can quit this job without notice.
mmmelissa
Im in BC Canada, and am not a lawyer, but if they arent paying you, they have violated not only your contract, but basic employment law.

I would get out of there asap. You are essentially providing them financial credit (unwillingly). When a debtor doesnt pay, typically you cut off the credit or increase the interest.

jtmille3
Lawyers cost money and it doesn't sound like he has enough to pay you. I would call him on it.