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Quit because credit memos not paid on terms or at all

by Pam

Purchased used products from companies, locally and nationally for a small company of 10 employees. Terms of agreement, paid in 30 days. Company was in financial distress, 4 pending lawsuits and filed bankruptcy. Customers were constantly calling for payments and owners stalled to make due, lost checks, waiting for loan that was denied, company being purchased. Bottom line, customers were consistently 90-180+ days past due or eventually customer quit doing business with company because they were not paid. In order to pay credit memos, customer had to get product with credit memos. Had meetings with manager because there was no plan of action to pay customers...add it to the list. Met with owners to get top customers paid. Gave resignation when I had to beg for a 400 dollar account to be paid. Owners promised to pay accounts over the next few days. Sales position was listed on Craigslist of the same week. They had a competitor sales rep in and never knew why. They made the credit memo balances of my co-worker and I to zero of the accounts in jeapordy only to find out they never sent the checks. Used the money to pay FED EX. We were working again under the impression credit memos were being paid. Customers threaten to call the BBB and District Attorney's office after waiting months to get paid. One instance, customer said he was driving over to get his check of over $ 4,000 and owner threaten to bring a gun to work. Customers were coming in for payments as well as investors. , paychecks were last, asked to get check late, and forced to make collection calls that was the owners job. Overall, left with good cause.

Was the voluntary resignation determined to be with good cause by the FL Reemployment agency?

And if so, what was their reasoning? Because the employer wasn't allowing you to pay creditors, or customers .. or because they weren't paying you per the FLSA?

Comments for Quit because credit memos not paid on terms or at all

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May 08, 2013
by: Anonymous

Interesting case. I wonder if the employer paid unemployment taxes as they were required to.

May 08, 2013
Employment agency noted personal reasons

Voluntary resignation with good cause has not been determined. Denied from unemployment due to employee leasing company has the reason I quit as " personal reasons". I was paid correctly. My issue was that transactions were being made and the owners would determine who or when clients got paid. No one got paid unless they called for their credits and even then, they had to call several times. Company had 4 pending lawsuits for payments and filed Chapter 7 on one of the 3 companies. This is a 10 employee company. thank u.

Then next question would be whether you sought remedy to what you were dealing with at work from the employee leasing company .. as that is the actual employer.

See tempo employment agencies and unemployment .. they've got special UI laws affecting voluntary quits.

By the way, the comment wondering whether the outfit you were doing the work for .. is a good one, but seems to of gone by the wayside when you mentioned you were a leased employee.

May 08, 2013
Payroll company-leasing company
by: Anonymous

Yes, they paid unemployment wages. Secretary left in Jan 2013 after 4 years and is receiving unemployment. In regard to a leased employee. Payroll company is listed as company for the unemployment case. I did not report to them.

Remedy of the situation: Company was in constant delinquency of vendors, 4 pending lawsuits and filed Chapter 7 in January. I worked with owners for months trying to get many customers current. In February, a small account was owed $ 400.00. It was difficult for them to pay, let alone the others and they had over $ 100,000 K in late credit memos - some over 2 years past due. I gave them a two week notice because broken promises were made to pay customers...some were 120 days past due. Company applied for loan to help pay for credit memos, but was denied. At the end of two weeks, my boss and I sat down with the two owners and we went over at least 30K of emergency accounts to be paid. They said they would in the next week. They marked the accounts paid in Quick Books and I continued to work for the next week. A week later, secretary told me the checks were not sent to any customers. I was later told by the owners, they needed the money to pay FED EX. I said, they did not resolve the issue, funds for FED EX has nothing to do with Credit Memos due. Some of these credit memos were, 5K, 13K, etc and were made interstate and intrastate. I just could not continue to purchase product in good faith if the intention of the company was not to give the monies on a NET 30-45... But over 120 days is unacceptable. Several times we had to convert credit for product to keep the customer satisfied. This is not what the customer wanted, but it was the only way they would get something for the transaction. thank u

I hear what you're saying, but you are not addressing unemployment rules and in fact, if the employee leasing company is listed as employer .. that's your employer for purposes of collecting unemployment benefits.

May 08, 2013
Employment agency noted personal reasons
by: Anonymous

I was not aware to call the payroll company. I was a full time employee not a temporary. All paperwork was done with the VP. We were to have no contact with the The VP was our human resource contact. When I left the company, I called the employee leasing company and told them what happened. They indicated I did not have to call them to tell them I left. The company only used them for payroll. The secretary did not call them. Actually, the secretary left for personal stress due to what was happening, they actually hired another secretary to replace her and she trained her for a week. Yet, she received unemployment.

Like I said, I hear you, but you need to pay attention to who is protesting your unemployment benefits by saying you voluntarily quit for personal reasons .. as that is the employer as far as the unemployment department is concerned because it would be their state unemployment tax account charged for any benefits that might be paid to you.

As for the secretary .. she may have had a medical issue being worsened or aggravated by the stress .. but that's just my guess as FL law does say that a worker's illness can be good cause.

If you want to ask any questions when you receive the non-monetary determination .. let me know.

May 09, 2013
by: Anonymous

Thank you for your assistance and giving light into the situation. The hearing is next week. I see where you are coming from and I have learn a huge valuable lesson. I realize now, that the employee leasing coming was never contacted prior to the situation. Everything was kept in house. I do now see that in the handbook that it someone has a work related problem, they are to let them know.

I never knew that was protocol. Most likely the owners will win due to they are protected and a determination of no monetary award will be made.

I will give you the outcome next week. If anything, giving them the list of accounts past due for record will be worth it. Perhaps they will get paid. Thank u

Ahhh. I didn't realize you already had an appeal hearing scheduled .. Good luck.

Mar 08, 2015
I quit my job because my boos was ripping me off
by: chris

My boss wasn't paying me time in a half . he told Me to be at the shop a 630 a.m. and I wouldnt start getting paid into 730 800 a.m. I was the lead man at my job and I was only getting one doll or more the the other guys plus he keep telling me that if something went wrong on the job that I would have to pay for it out my own money . my unemplayment was denied and I want to appeal it .can anyone help me ????

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