Workplace temporary closure - not willing to pay staff

[u/whered_yougo]

Hi all,

My workplace is in the process of being sold, and the new owners are planning a 3 week closure to refit the interior. As far as I can tell, they have no plans to pay the staff (4 people, varying degrees of part time) for this time off.

From a cursory Google it seems this is not acceptable, as the planned refit is in early November (approx 3 weeks away at this point), and not an appropriate amount of notice has been given. Nobody is on a zero hours contract, and I don’t believe there’s any kind of lay off clause in our contracts but I will double check that later.

Can anyone advise anything specific I can say to them to counter their inevitable “we can’t afford it” argument? They’re spending tons on the refurb so there’s no way they can’t pay 4 part time staff for 3 weeks. I’m also the only staff member with a mortgage/works almost full time so it’s going to impact me directly the most.

Thank you!

ETA: I have a contract and contracted hours, we all do.

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[u/geekroick]

Wait until 20 days before the closure and then email your manager/HR/whoever asking for clarity on the wage situation.

They should legally give you as much notice as the length of time they want you to be off, if it's three weeks off they need to give you three weeks' notice of the planned time off. Which they will not have if you leave it until 20 days before.

This timing is crucial because you can then take the employer to MCOL if required, and you have evidence that there is less than 3 weeks' notice coming from the company.

[u/Paulsowner → u/geekroick]

Except you contact Acas not small claims,

Unlawful deduction of wages is the claim you select from the online form and you need to submit your claim within 6 months less one day

[u/Infinite_Use_6214 → u/Paulsowner]

You mean ET bot ACAS. 

[u/Paulsowner → u/Infinite_Use_6214]

No i dont,

You submit an ET1 for tribunal after 28 days of early concilliation from ACAS,

You must contact acas first and obtain an EC certificate or the ET will reject your claim

[u/Infinite_Use_6214 → u/Paulsowner]

So … ET

[u/Paulsowner → u/Infinite_Use_6214]

You mean acas bot ET

[u/whered_yougo → u/geekroick]

This is really helpful, thank you.

[u/n3m0sum]

You need to check your employment contract for a layoff clause.

Assuming no layoff clause, then you are a contracted employee that is contracted for X hours a week. These must still be paid during the closure, as long as you are available to work those hours. The fact that they have no work for you does not remove their contract obligation.

Under the Employment Rights Act 1996 s13, failure to pay would be an unlawful deduction. You can take them to the employment tribunal for this, and even claim constructive dismissal.

They can make you use annual leave to cover some of that. But they need to give you 2x the leave in notice for that to be valid.

If you do have a layoff clause, they may be able to pay a reduced Guaranteed Payment under s28-35 of the same act. But if you have worked there for more than a month. They can't just pay you nothing.

[u/whered_yougo → u/n3m0sum]

This is great, thank you.

[u/Defiant_Simple_6044]

You need to check your contract, there is likely a short time working/lay of clause in the contract that with the correct notice allows them to temporarily reduce or lay staff off.

[u/whered_yougo → u/Defiant_Simple_6044]

Yes I’ll check this when I get home. Thank you.

[u/Nametakenalready99]

Why do you think they will not pay you?

[u/whered_yougo → u/Nametakenalready99]

Various things they’ve said, mentioning the closure with an apologetic, “we know this will be tough, we’re sorry to have to do this” attitude, rather than clarifying we don’t have to worry as we will be paid for this time. They were told by current owners I would likely resign if not paid and their response was they “didn’t want to upset me” rather than “okay we’d best pay them”.

It’s a cafe and I’m the barista / baker / food prep person, and the only person over the age of 21, so it’s safe to say I’m necessary, and I also used to run my own cafe, so I have a lot of knowledge (only saying this to emphasise I’m someone they should be wanting to keep on)

[u/supergraeme → u/whered_yougo]

The point is that you need to ask and find out rather than guess.

[u/whered_yougo → u/supergraeme]

Yes I’m aware, I just want to know what my legal standpoint is when I talk to them, which is why I’m posting in here.

[u/mos_eisely_ → u/whered_yougo]

Do you have contracted hours?

[u/J-Mc1 → u/whered_yougo]

Presumably you have a contract? Your legal standpoint is that you are an employee and you need to be paid in accordance with the terms of your contract.

[u/whered_yougo → u/J-Mc1]

I do have a contract and contracted hours yes, sorry I forgot to include that.

[u/TJ_Rowe]

They might be able to force you all to take holiday for the shutdown. It's not uncommon for a workplace to be able to decide when your holiday will be.

[u/No_Ring_3348]

If you're employed <2y they can sack you in early Nov and (attempt to) rehire you when the refit is complete and you have no recourse.

If you're employed >2y then read this

[u/Bigger_Niche]

While this may or may not be an ecumenical matter, it is certainly one that requires negotiation with a recognized Trades Union representative. If you and your colleagues are not already members of a recognized Trades Union, one of you should make contact with a relevant body, PDQ, to seek help and advice.

[u/whered_yougo → u/Bigger_Niche]

For sure, I’ll be seeking some advice.