Contract Termination

[Georges]

I have a 3 month contract. 7 weeks into the contract the company has decided to drop the project immediately to cut their losses. My contract requires a month's notice and the line manager has decided to terminate my contract (or give me a month's notice). The whole team (>15) has been disbanded including 'Permies', except for some 5 people who will stay on for 1-2 weeks. The manager however did not ask me specifically to continue to come in.

I informed the agency and they have not followed this up for me, so am forced to follow up with company myself. When I raised the issue about the company paying for the month's notice, they have started looking for an excuse that I was still supposed to have gone in although notice was given me.

Has anyone been in similar situation before? and did you receive compensation when contract was terminated a day's notice.

[malvolio]

I have a three month contract...

Errm, no, you don't. Not any more. Shame, but tough.

You also don't have a notice period from the end client, since your contract is with the agency. The agency will move heaven and earth not to pay you if there is no recovery for them, which there almost certainly isn't, So, again, tough.

You want to be a contractor, this is going to happen. Live with it and don't waste time and effort over it. Go look for the next one.

But think positive - you are unlikely to fail an IR35 case on this one, since you have demonstrated you work with a real financial risk.

[partimer]

games they play

The problem you're going to have is you're going to be given the run around.

Rightly or wrongly, it doesn't matter:
The agency will say "No signed timesheets, no money. See the client."
The client will say "You're not working for us. See the agency."

Get my drift ?
Agree Malvolio, just move on. It's part of our business.

Unless you want to get legal on both the agent and the client ...

[Viking]

Re: games they play

I posted this on the general forum...

It is imperative that you check the contract through with a lawyer. It is incumbant upon the agency to notify you on your termination stating the clause and reason for early termination of the contract.

Where I see a problem is you not going to work as required by the contract. I suggest you get any documentation, notes or emails that can confirm your project has been cancelled and you were no longer required to work. If you cannot get this then you are liable to be stuffed as you did in fact breach your contract and therefore the agency is within its rights to terminate you.

Also, you should get the names and addresses of all the people you were working with including the permies. Check if they have any documentation confirming the termination of the project and hence termination of their contracts. Also if you decide to sue it would be good to have details of other contractors who were in the same position.

If a couple of you were working with the same agency, then you could get together and raise a small class action suit against the agency, that will help as you will only have to pay one set of legal costs.