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The Committee notes the information provided in the Government’s report and attached documents, especially the adoption of the Act amending the Public Guarantee and Maintenance Fund (Official Gazette No. 61/06) with a view to regulating cross-border insolvency situations in line with relevant EU legislation. It also notes with interest the judicial decision of the Ljubljana Superior Labour and Social Court of 16 October 2003 in which express reference was made to ILO Convention No. 173 in analysing the scope of the right to severance pay under section 19 of the Public Guarantee and Maintenance Fund Act.

Article 12(b) of the Convention. Claims for holiday pay. The Committee recalls its previous comment in which it noted that the protection afforded by section 19(1)(c) of the Public Guarantee and Maintenance Fund Act might not always be sufficient to meet the requirements of the Convention. More concretely, the Committee understands that by limiting the claim for holiday pay to any “unused annual leave to which an employee is entitled during the current calendar year”, the Act cannot always ensure compensation for leave corresponding to at least the six-month period of service preceding the insolvency or the date of termination of employment, as required by this Article of the Convention. For instance, in the case where the insolvency occurs in February of a given calendar year, an employee would be entitled to pay for leave corresponding to the first two months of work, at best, and not to the six months prior to insolvency as prescribed by the Convention. If the Committee’s understanding of the scope of section 19(1)(c) is accurate, the Committee would accordingly request the Government to consider amending the relevant provision of the Public Guarantee and Maintenance Fund Act to ensure full conformity with the requirements of the Convention.

Part IV of the report form. The Committee notes that according to the statistical information provided by the Government for the period 2004–06, there has been a noticeable reduction in the number of applications filed with the guarantee fund and a similar reduction in the number of bankruptcy proceedings. In 2006, the guarantee fund received 1,263 claims, that is 45 per cent less than in 2005, and issued decisions for the payment of 518.5 million Slovenian tolar (approximately 2.1 million euros). The funds for payments to beneficiaries were principally provided from the state budget and partly recovered from insolvent employers through subrogation. The Committee would be grateful if the Government would continue to supply up to date information on the practical application of the Convention.