How long can an employer delay pay?

If I am not paid my salary, I can consider myself dismissed.

Imagine an employee who decides not to report to his job for several days, without any explanation to his bosses. If he did not attend to his main obligation, work, the employer could fire this person in a disciplinary manner. On the other hand, if a company fails to fulfill the basic counterpart of any contract, to pay the salary for the work performed, the “solution” for the worker is not nearly as immediate. In order to claim his salary, the courts usually require a minimum period of three months without pay. During this period, the worker must go to his job so as not to face situations that could cause him to lose the paychecks owed and even lose the right to compensation and even unemployment.

“It is something that cannot be understood,” regrets Victor, already a former employee of the company Mopavid, in Badalona, and who has suffered this situation of non-payment of wages. “I understand perfectly well that you have to fulfill a contract as a worker. What is not normal is that a boss stops paying you and you look like this. That until three months have passed you can’t denounce. You get to the fourth month without getting paid and how do you live in the meantime?” he complains.

How long can payroll be delayed?

The limit to the payment of the payroll is only one working day after the date chosen for its payment. In other words, if you are normally paid on the 5th of the month, you can demand payment on the 6th of the month if you have not been paid.

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How long can it take for a company to pay you?

That is, you can pay your employees’ salaries weekly or every 15 days, but never exceed the deadline of every two months or month and a half.

What happens when a company does not pay on time?

Penalties for not paying the weekly or fortnightly pay on time can range from 250 to 5 thousand UMAS, about 450 thousand pesos.

How long can a company take to pay wages?

Specifically, what does the Workers’ Statute say about the payment of wages? The text states textually that “the settlement and payment of wages shall be made punctually and documented on the date and place agreed upon or in accordance with customs and practices. The period of time to which the payment of regular and periodic remuneration refers may not exceed one month”.

The answer is, it depends on what has been formed in the contract. The limit to the payment of the payroll is only one working day after the date chosen for its payment. In other words, if you are normally paid on the 5th of the month, you can demand payment on the 6th of the month if you have not been paid.

The first step is to make an out-of-court claim by means of a labor conciliation letter. There is no basic model for this document, although it must contain the identification data of the person making the claim and the entity to which it is addressed. In addition, a ballot must be formalized for each of the parties involved, and two more.

In the event that the employer cannot pay the wages owed to the worker, the judge may seize his assets. Another option is for the Wage Guarantee Fund (FOGASA) to take over the debt. This fund can pay, as a ceiling, double the minimum interprofessional wage (70 euros/day) for a maximum of 120 days.

How can I sue a company for non-payment?

Consequently, if you decide to sue a company for non-payment, it is a good idea to seek advice from your state’s Department of Labor office, or go to an attorney experienced in wage claims.

For what amount of money can you be sued?

The amount you can be sued for will be the amount of your debt. It is very important for you to know that the seizure has a legal limit of 03 times the amount of the debt. In other words, if you owe $50,000.00 pesos, the maximum amount that can be garnished with interest in arrears will be $150,000.00 pesos.

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What does Article 88 of the Federal Labor Law say?

Article 88. – The deadlines for the payment of wages may never be longer than one week for persons performing material work and fifteen days for other workers.

At what time salaries are deposited

There are numerous cases in which companies, for different reasons, stop paying their employees’ salaries or are late in making payments. Faced with this situation, it is normal for workers to consider the option of not going to work.

This option is not at all advisable, if the worker does not go to work, even if it is for not receiving the corresponding salary, it will be possible to allege abandonment of the work and, with it, the voluntary dismissal of the worker. Or a disciplinary dismissal could also be carried out against the worker, which implies no right to compensation or unemployment benefits.

In Gómez González abogados you have at your disposal a multidisciplinary law firm, we cover all fields and we are specialists in conflicts between companies and workers. Our lawyers always ensure that our clients can solve the legal problems they have pending, either as plaintiffs or defendants.

When can I report my boss for not paying me?

To sue the company for non-payment, the term is one year from the date on which the payment should have been made. For example, a payroll for the month of January that should be paid on January 31 will have a period to be claimed until January 31 of the following year.

What is the minimum amount for a garnishment?

Through Circular 59 of October 6, 2021, the Superintendency of Finance established that, as of October 1, 2021, amounts deposited in savings accounts up to $39,977 are unseizable.

How much money can be garnished?

The salary, wage, pension, remuneration or its equivalent, which does not exceed the amount indicated for the minimum interprofessional wage, is not subject to seizure. In 20022 the SMI is 965€/month for 14 payments. That is to say, the first €965/month of your salary or pension are unattachable.

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Labor lawsuit for delay in the payment of payrolls

Receiving a salary for work performed is a basic right of employees. Non-compliance with this obligation by a company or employer will result in penalties, given the seriousness of the infraction, since not receiving remuneration causes serious disruption to employees, making it difficult for them to carry out their daily lives and fulfill their own obligations (such as paying mortgages or rents, buying food, paying bills, etc.). In this sense, labor legislation contemplates measures to try to protect the employee.

The Workers’ Statute is one of the laws that establishes provisions on how payroll payments are to be made. It also includes punitive actions in the event of non-compliance with salary obligations.

It is the responsibility of the employer to make the settlement and payment, which must be carried out in a timely manner on the agreed date and place or in accordance with customs and practices. This is stipulated in Article 29 of the Workers’ Statute. This law also stipulates that the payment of regular and periodic remuneration may not exceed one month.

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