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NSW Payment for Two Weeks Notice Period - Where Do I Stand?

Discussion in 'Commercial Law Forum' started by Michael Scott, 8 September 2015.

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  1. Michael Scott

    Michael Scott Member

    8 September 2015
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    I am an IT contractor engaged with a new client via an agency. The contract period is through to 31 October 2015.

    Last Friday - September 4 and six weeks into that contract - I terminated the agreement/contract providing two week's notice that was in keeping with clause 11.1 ...


    11.1 <Agency> or the Contractor may terminate the Agreement prior to the expiry of the Contract Term by proving two (2) week's written notice.

    11.2 Not withstanding clause 11.1 <Agency> may terminate this Agreement during the Contract Term on written notice to the Contractor if at any time:

    (c) the Client terminates it's contract with <Agency> or directs <Agency> to withdraw the Contractor."

    The Agency accepted my written termination including the two weeks notice period on September 4 and that was followed by verbal acceptance by the Client who accepted my two weeks notice but requested that I finish up at the end of that day.

    The Agency verbally confirmed my entitlement to two weeks of additional pay in lieu of my written notice.

    Today - on September 8 - the Agency informed me that I would not be paid for the two weeks as the Client - after both the Agency and the Client had accepted my notice - terminated the agreement as per clause 11.2 (c) ... clearly after the acceptance of my notice of termination.

    Where do I stand in regards to being paid for the two week notice period under Employment Law?
  2. Sophea

    Sophea Well-Known Member

    16 April 2014
    Likes Received:
    Hi Michael,

    I assume that the agency is not required to give 2 weeks notice if terminating under clause 11.2(c) and they are using that as a way to get out of paying you your 2 weeks notice is that correct?

    I would write a letter to the Agency, (as they are the ones you have the contract with) and advise them that their termination pursuant to clause 11.2(c) is null and void as you already terminated the contract pursuant to clause 11.1. Given that clause 11.1 requires a 2 week notice period and you are not waiving that notice period they are entitled to pay you $X amount for your wages for those 2 weeks. Then you can also send at the same time a formal letter of demand for payment of those wages. You can include it all in the same letter if you want, it doesn't really make that much difference. There are lots of precedents for letters of demand online, but you basically want to specify exactly what is owed to you, how they should pay it and a deadline for when it should be paid. Then you can say something at the end like "Should the demanded sum not be paid by X date, I reserve the right to institute legal proceedings to recover it."

    See how you go with that.

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