Employees

Questions?

Answers

What does ‘going into administration’ mean?

Going into administration means the Company is being taken under the management of an administrator (a licensed insolvency practitioner).  The administrator assumes control of the Company from the current Directors and will manage the business from this point onwards.  Administration is one of a number of insolvency processes.  

What is an administrator?

An administrator is an officer of the Court and is qualified to manage the affairs of a business when it is insolvent.  It is their role to take control of a Company’s affairs when it is in financial difficulty and try to find a longer term solution for it.  

The administrators act as agents of the Company and without personal liability. 

Who do I now work for? 

You remain an employee of the Company under your existing terms and conditions.  Unless you are told otherwise, you should continue to turn up for work.  You will be paid for the work that you do in the usual way.

Should I continue to come to work?  How will my wages be paid?

Yes, if you have been advised that you have been retained by the Company please continue to attend work.  If you are uncertain of your status, please speak to your line manager or HR.  

So long as you continue to turn up for work, you will be paid for the work that you do in the usual way.

Will I receive confirmation of the administration in writing?

In some circumstances we will either send you a letter or an email to confirm our appointment.  Please ensure that the Company records hold the most up to date contact details or you may not receive this. 

Are my pension payments up to date?  

A specialist pension team will be reviewing the company policies. If contributions are owed to the pension scheme, these may be claimed from the Redundancy Payments Service or become the responsibility of a new owner (if applicable).  You do not need to do anything to recover these amounts, but there may be a short delay in the funds being credited to your account.  

If you have any questions around your pensions, please contact your scheme administrators using the contact details that you would usually use.  You may find these on an annual statement, for example. 

Will you still pay into my pension?

As long as you continue to be paid and contributions are taken from your wages and salary these will be paid to the relevant provider at the normal time. 

If you wish to opt out of the pension you should follow the usual process to request this change.  

What happens if I have a company car and/or phone?  Will my private medical insurance continue?

The Administrators will be having discussions with the current provider with a view to securing on-going arrangements to continue car schemes, phone contracts and any benefits that you’re entitled to as an employee of the Company. 

For as long as you remain an employee of the Company you will be insured to drive your company vehicle unless you are told otherwise

I have a company credit card and a fuel card, can I carry on using it?

You should not incur credit on the Company’s behalf so will not be able to use credit cards or fuel cards, for example.  Alternative arrangements will be made and communicated to you. 

I’ve got an unpaid expenses claim, what should I do?

Once we are clear on the amount due to all retained staff for expenses, we will be able to let you know whether or not these can be paid. 

I am on maternity leave, what will happen to my role?

If you are on maternity leave, you are entitled to be offered any available suitable alternative vacancy in priority to other employees.  We will therefore try to identify any vacancy that may be suitable for you.  However, as you may expect in these circumstances, it may be difficult for the Company to identify any suitable alternative vacancies.  Please contact HR if you have any questions or would like to know if there are any alternative suitable vacancies. 

What happens if I get a new job and choose to resign? 

If you wish to resign, you should be prepared to give and possibly work some or all of the notice period set out in your Contract of Employment.  You won’t be entitled to redundancy or notice pay.  You may be asked to claim pay in lieu of holiday accrued but not taken prior to the administration from the Redundancy Payments Service even though you will not have been made redundant.  Please speak to your line manager or HR to reach an agreement on a leave date before agreeing a start date with a new employer. 

I have resigned and I am working my notice, what should I do? 

Unless you are told otherwise, you should continue to work your notice period as normal. 

As an employee am I also a preferential creditor?

It may be that money becomes owed to you if your employment with the Company ends.  Amounts owed to employees fall broadly into two categories: unsecured claims and preferential claims.  Employees are preferential creditors for unpaid wages up to £800 (and subject to a time limit) as well as pay in lieu of holiday accrued but not taken up to the date of insolvency without financial or time limit.  Some pension contributions may also be preferential.  Any claims which are not preferential claims, will be unsecured claims. 

If I have recently moved house and not yet changed my address with HR, what should I do?

It’s important that we have your most up to date contact details so please take time to refresh your personal information with HR.  It may aid communication if you could also provide an up to date email address and personal phone number.

What do I do if I receive enquiries from the media?

Should anyone from the media contact you please do not answer any questions yourself.  Please refer any press interest to the PwC press office.  

Please be mindful when making comments over social media as these can often be misconstrued.