How can I get my previous employer to pay me?

[adviceplease]

In 2023, I worked for a start up that was not doing so great. Because they were financially struggling and projects were not coming up, they decided to give us two options: 1. we can take days off w/o pay 2. we can work but get paid in company shares. I decided to do the latter and accumulated around $8k in shares.

After I left the company, I asked the CEO for proof of these shares or anything - he said he was gonna look into it. Apparently he discussed it with the board of the company and they decided to pay me instead, cool at that point I didnt really care.

Now it has been around 6-7 months and everytime I call or message there is a new excuse of why I cant get paid... I am getting tired of this, is there anything I can do to get my money? Any part of the government that could help me?

 

[sally77]

@adviceplease Call Fair Work

 

[halbhh]

@sally77 This. It's fairly likely that what the CEO did was illegal.

Also repost in r/AusLegal

Good Luck.

 

[ericph]

@adviceplease OP:
You need to put in writing (alongside screen shots of your texts with the CEO that support your story) what you want, a timeline of when you’d like it, as well as consequences of what will happen if an agreement isn’t made and stuck to.

I.e;

Hi xyz,

As per our agreement from X/XX/2023, I was owed X amount of shares in X company in lieu of payment for work performed. On X date, I was told that I’d instead be paid for my work at X rate.

After multiple attempts to paid the amount owed, I am now demanding payment in full to the amount of $XXXX (whatever you’re owed), via bank transfer to (bank account details).

As I was employed by your company, I also seek proof of all superannuation and any owed benefits accrued during my time of employment.

If the above is not actioned, and payment received within 14 working days, I shall pursue payment via the courts.

I look forward to your reply, and request that all future communications take place only via email, not phone.

Regards,

Name.
————-

Ignore the bit about super and benefits if you were a contractor and not an employee.
It’s worth getting it written by a lawyer, on their letterhead, if the amount you’re owed is more than $10k imo.

Might want to start charging interest on the debt if they don’t pay up too.

 

[apollyx]

@ericph Share value growth and any past payments of dividends should also be taken into consideration

 

[ericph]

@apollyx Im a fan of walking before running; after months of just trying to get paid, OP may be satisfied with their payments, without pushing for capital growth etc, but I know what you mean.

 

[adviceplease]

@ericph Literally - I will be happy if I get my 8k back

 

[apollyx]

@adviceplease Fair work gov will likely take any interest lost into consideration. But I agree with everyone else. Go directly to Fair Work Gov, you’ve given them ample opportunity to resolve this already.

 

[resjudicata]

@apollyx No they will not as part of a standard request for assistance. Interest is something that can come up as part of litigation but most of its recoveries are via compliance notices.

I’m ex FWI.

 

[nightjay]

@ericph Don't ignore the super part if you were a contractor! Often contractors are entitled to the Super Guarantee as if they are an employee. Chase them up for lost earnings too, if it hasn't been paid - but the ATO may well do that for you.

 

[chiere]

@ericph Great response. Well worded letter too.

 

[resjudicata]

@adviceplease It’s against the law in Australia to be paid in kind, so it can’t legally pay you in shares.

Issue a letter of demand. If it doesn’t pay you there are a few considerations for an avenue of recourse.

If you are covered by a modern award and were offered above award payments, the FWO cannot recover above award underpayments apart from annual leave (which OP doesn’t mention).

If you are covered by an individual contract, the FWO cannot assist you as it is regulator of the minimum wage.

The two above scenarios recourse would be through Small Claims or independent legal advice.

Also, contact the ATO about unpaid Super.

Source: me, a former FWO inspector.

 

[hope414]

@resjudicata Very interesting.

 

[resjudicata]

@adviceplease 1) He never talked to “the board”

2) If it’s not in writing, then you ain’t getting it

 

[adviceplease]

@resjudicata I have text messages proving that he owes me and him saying that he will pay me

 

[resjudicata]

@adviceplease Then Fair Pay is your only avenue. Don’t give him a heads up.

 

[adviceplease]

@resjudicata Why? I thought mentioning him Fair Pay would make him panic and pay me without issues?

 

[resjudicata]

@adviceplease Or he’ll use that time to bury it

 

[jcla4life]

@adviceplease Did you get any of this in writing?

 

[adviceplease]

@jcla4life I signed some papers for this but I didn't copy them (silly meee)

But I do have text messages from the CEO and a noticeable reduction in salary in my payslips (plus many employees that aware of the situation)