My employer is broke. What happens to my job
and do I still get money? And we two discuss that. In my studio: my colleague
and bankruptcy expert Max Walka. Max, do I have to come to work
if the company I work for is broke? Yes, that is very important, because opening insolvency proceedings
does not end my employment relationship. Even now it has no direct
impact on my employment relationship. That means I continue to go
to work as usual. And even if my employer
has not paid me my wages or salaries for a longer period of time
. But what is
very important: If I think about terminating my employment relationship , I have to
report to the Chamber of Labor. Because there are legal peculiarities in bankruptcy
that have to be observed. You said I have to get on with the job. Quite normal when I go there:
who is my boss then? My boss? If judicial
insolvency proceedings have just been opened , the court appoints
an insolvency administrator. He or she then takes over
the employer's duties.

Means: If I have now agreed on vacation, for example,
before the bankruptcy and the start of the vacation would only take place after the bankruptcy has opened, then this vacation agreement remains in effect
. If, however, I
want to agree on vacation consumption in the future after the bankruptcy has opened, then I have to do it
with the insolvency administrator. The same applies to termination. But that means that if the company is broke,
then a lot of questions arise.

One of them is: What happens
to my salary, my money? Do I get anything else? Yes, so
in judicial insolvency proceedings you speak when I am owed money
by me as a creditor. Employees
are also such creditors. When wages or salaries are owed
to them. But now there is the special feature
that the "IEF", which is the insolvency remuneration fund, is
responsible for employees. These demands are secured by the "IEF"
. But these claims must be registered
or applied for. Now means for female employees:
You get your money. But no longer from the employer,
but from a public body. Max, now you mentioned the "IEF". The insolvency fee fund:
what exactly is it? This is a fund that was set up by the Republic of
Austria and this fund is represented
by "IEF Service GmbH". This is also the authority that
represents the fund externally. Claims must also be applied for
there. That means there are
some bureaucratic hurdles for those affected.

But we as a Chamber of Labor, we help. What does this help look like in concrete terms? Yes, exactly. So here I can calm down. The Chamber of Labor does not leave the
employees alone here. Means:
The support from the Chamber of Labor is not only in the advice,
but also in the representation in these two procedures. However, representation does not take place directly
through the Chamber of Labor, but through the "ISA". The "ISA" is the insolvency protection association
for employees , which is set up and operated jointly by the Chamber of Labor and ÖGB, the Austrian Federation of Trade Unions
.

How soon is there help? When do I get my money? And is this service chargeable
by the Chamber of Labor , is it free? How does that look? That is of course
the most important question for employees: How long do I
have to wait for my money? Quite understandable in the situation. If I have not received any more money , I still have
my costs, which I have to bear. Statistically, 2 to 3 months. This time begins from the time of
application to "IEF Service GmbH"
for the insolvency fee fund. And of course one more important question : Representation is
free for Chamber of Labor members.

How do I get this help from
the Chamber of Labor? Is the Chamber of Labor coming to me now? Will it come to us in the company
or do I have to go to the Chamber of Labor? How does it work? Yes, that's how it is. The
moment I find out that my employer is bankrupt, I should
report to the Chamber of Labor. And then, in each individual case, I am
told specifically what the next steps are. I will be advised,
then a conversation will be started with me and of course the Chamber of Labor also needs
something from me.

In particular, forms that
need to be signed. The most important thing, of
course, is the power of attorney. We also have to be authorized
so that we can advise or represent. All of this happens in the first steps of
the consultation. The situation is
a little different for major bankruptcies. Means: If several
employees are affected by insolvency
, the Chamber of Labor organizes meetings, employee meetings, and then an attempt is made to fall
back on the company's existing structures in
order to create a channel to handle this in a structured manner. And experience has shown in particular with large insolvencies
that a joint cooperation between the insolvency protection association,
insolvency court, insolvency administration and, of course, "IEF
Service GmbH" leads to quick results and employees get
their money as quickly as possible. Now, as you say, not only the money is
an issue, but of course also “Will I keep my job,
will I not keep it?” When does that come to light
in this whole process? How long does such a procedure take? It's very difficult to say, because
it really depends on the individual case.

Of course, it depends: What
kind of procedure is it in principle? Let's talk about bankruptcy. This is the umbrella term,
which is then broken down into bankruptcy proceedings
and restructuring proceedings. In bankruptcy, the purpose is to wind up
the company. In the end, to end the employment relationship
with it. A restructuring process is
aimed at keeping the company alive, restructuring it
so that it can continue in the future.

In turn,
the employment relationship cannot be expected to be terminated. So it is really difficult to say what will happen to the employment relationship,
whether it will be terminated or not, depends on the individual case
. Understood. You mentioned the ISA earlier. The bankruptcy protection association. What is basically special about it? What is special about the ISA lies in its many years of experience
with the cooperation of the insolvency court, "IEF Service GmbH"
and the insolvency administrators. Our advantage is that we
can record, calculate
and process the claims in the best possible way so that these positions are checked quickly
and the outstanding wages and salaries can be
paid out as quickly as possible. That means
that the help arrives as quickly as possible. Max, thank you for your expertise
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