Stay or Leave?

[joeo]

Virginia

Hi - I currently work for a company that has been struggling for the past year. Over that time we are now missing 6 pay checks. Oddly everyone is still coming to work. The company has also stolen money from the 401k - the only way I found out and stopped contributing was after receiving a statement and seeing that no money was put in.

We are frequently given email updates on the status of the company and it always sounds very good.

I've been looking for a job for the past several months, but have not found one yet. My question is, should I quit my current job and demand the missing paychecks, 401k money, and vacation time? Or should I stick with the company until I find a new job or the company bounces back?

If the company cannot pay the money back, should I go to court? At this point, should I contact a lawyer?

 

[HomeGuru]

Virginia

Hi - I currently work for a company that has been struggling for the past year. Over that time we are now missing 6 pay checks. Oddly everyone is still coming to work. The company has also stolen money from the 401k - the only way I found out and stopped contributing was after receiving a statement and seeing that no money was put in.

We are frequently given email updates on the status of the company and it always sounds very good.

I've been looking for a job for the past several months, but have not found one yet. My question is, should I quit my current job and demand the missing paychecks, 401k money, and vacation time? Or should I stick with the company until I find a new job or the company bounces back?

If the company cannot pay the money back, should I go to court? At this point, should I contact a lawyer?

**A: hire lawyer. The early bird will get the worm.

 

[justvisiting]

"We are frequently given email updates on the status of the company and it always sounds very good."

Yet you're 6 paychecks short.

Seems like a huge contradiction. Their e-mails are worthless. I'd think you'd want to work for a place that actually pays you - consistently and also does not steal your 401k.

Good luck getting your money back.

 

[JETX]

Contact your state Dept. of Labor IMMEDIATELY about your missing paychecks. Hopefully, you will get them before this company folds, as they most definitely will.

As for your 'missing' vacation pay and 401k compensation, those are separate issues and you may, or may not, have a legal right to them depending on other factors.

 

[joeo]

Justvisiting - yeah - I agree about the emails. I'm trying to find a job that pays!

The company is very small, and I'm wondering why no one else has contacted the department of labor. My only guess is they hope it will eventually succeed and contacting the dept. of labor may cause the company to close. I suppose there is guilt associated with that.
Sounds like contacting a lawyer is the best course of action at this point. Will there be significant fees associated with that?

Thanks for all the advice, I certainly appreciate it. More comments very welcome.

 

[justvisiting]

You bring up something that I've wondered about, so I'll put this question out there:

Just exactly what does the State Labor Board/Department do? Investigate? Arbitrate? Enforce? Punish?

Do they have ANY authority whatsoever?

 

[JETX]

Go to: http://www.dli.state.va.us/

 

[cbg]

Vacation pay is not considered wages in Virginia and it is entirely up to the employer whether to provide it or not. You have no legal right to it; I'd drop that issue in your shoes.

401k contributions, however, are an entirely different and VERY serious matter. If there were 401k contributions withdrawn from your paycheck and NOT deposited in the funds, which is what I assume you are talking about, there is NO POSSIBLE WAY that is legal. IMMEDIATELY contact the US Department of Labor (not the state, the Federal - they have jurisdiction in this area). I assure you that it will be taken very, very seriously.

 

[JETX]

I agree as to the vacation pay, but didn't get too excited about the 401k issue since the writer made NO mention of these being his funds, I assumed it was the company funded part.

 

[joeo]

With regard to the 401k - yes it was stolen. The company does not do any funding. I was contributing 15% (the maximum) to the 401k. The money was being taken from the paychecks, but not being deposited into the 401k. That money is still missing, and I assume it went to run the company. Some of the employees didn't find out the money was being taken until 1 year later!

I would imagine that all the employees have stopped contributing to it at this point. One employee left soon after this was discovered and was paid everything back, but that was about 6 months ago. I would bet that everyone at the company is looking for a job, and as soon as they get one, they will take it. Eventually there won't be any employees left.

 

[justvisiting]

Joeo,
I'm not understanding you at all. The more you post the worse it gets.

The company has stolen 6 paychecks and all of your 401k.
You continue to gp in and do volunteer work - for criminals.

Why are you still there? And please don't give me the "guilt" thing such as you posted earlier.

This just is not making sense.

You say you are looking for a job. Fine. But you have not taken any action against your thief employer and you go in and donate your time.

 

[joeo]

Justvisiting - I take it your vote is to leave now without having a new job, and try to get the money back. Correct?

Why am I still there is a very good question! I suppose myself along with the rest of the employees don't want to leave until we have another job. We also are hoping that the company does bounce back. I personally am emotionally invested with it since I've been with them for a long while now. That said, I would certainly leave as soon as I find a new job - but it sounds like it may be best to leave now? Should I just quit the position? Do you think it's possible to get the money back without quiting?

Oddly only one employee has left in the past year, probably due to problems finding new employment. We also still have health insurance.

 

[justvisiting]

Joeo, this is sillly. You keep going around in circles. I'm not interested in how many have stayed vs. how many have left.

If you like doing volunteer work for thieves, stay and stop complaining.
If you prefer to get paid for working and you want to use your time more productively; i.e., to find another job, then go.

I have no more to say about this.