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Protection of Workers' Claims (Employer's Insolvency) Convention, 1992 (No. 173) - Chad (RATIFICATION: 2000)

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The Committee notes the information provided by the Government, which answers the points raised in its previous direct request and has no further matters to raise in this regard.

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Article 1(1) and (2) of the Convention. Definition of the term “insolvency”. In its previous comment, the Committee requested the Government to specify whether the term “insolvency” is defined in law and, if so, to provide a copy of the relevant text. The Committee notes that the Government’s report does not contain any further information in reply to its request. The Committee once again requests the Government to indicate in its next report whether national legislation defines the term “insolvency” and, if so, to provide a copy of the respective text.

Article 1(3). Employer’s assets. With reference to its previous comment, the Committee notes that the Government has not provided any information on the responsibility of the employer in the event of insolvency (for example, whether or not responsibility extends to the employer’s personal goods, whether certain goods may not be seized, etc.). Section 268 of the Labour Code only provides that wage claims enjoy preferential treatment over the employer’s moveable and immoveable property, without any further details. The Committee once again requests the Government to indicate the scope of the employer’s responsibility in the event of insolvency.

Articles 5 and 6. Protected claims. With reference to its previous comment, the Committee notes the Government’s indication that wage claims represent all sums due to employed persons by reason of the execution or rupture of the contract. They consist of wages and any indemnities that form part of the social entitlements of employed persons. However, the Committee notes that these provisions refer in general to claims arising out of contractual employment relationships, without specifying whether they shall enjoy a privilege, such as wages, claims in relation to holiday pay and other types of paid absence (such as sick or maternity leave), and severance pay. The Committee therefore requests the Government to specify the legislative provisions that ensure that the four types of claims referred to in this Article of the Convention are considered as enjoying a privilege in bankruptcy proceedings.

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The Committee notes with regret that the Government’s report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:

Repetition
Article 1(1) and (2) of the Convention. Definition of the term “insolvency”. The Committee notes that, in its last report, the Government confines itself to indicating that the term “insolvency” refers to the bankruptcy of the enterprise and the inability of the employer to pay its debts in respect of its workers, without referring to a legal text. The Committee requests the Government to specify whether the term “insolvency” is defined legally and, if so, to provide a copy of the relevant text.
Article 1(3). Employer’s assets. The Committee notes that section 268 of the Labour Code only provides that wage claims enjoy preferential treatment over the employer’s movable and immovable property, without giving any other details. The Committee requests the Government to indicate the scope of the employer’s responsibility in the event of insolvency (for example whether or not responsibility extends to his or her personal goods, whether certain goods may not be seized, etc.).
Article 2. Method of application of the Convention. The Committee requests the Government to indicate whether, in addition to the Labour Code, other legislative texts, such as the Bankruptcy Act or the Companies Act, contain provisions relating to the application of the Convention and, if so, to provide a copy of these texts.
Article 6. Protected claims. The Committee notes that the Labour Code does not specify the number of months for which wages are protected by a privilege, nor whether claims for holiday pay, other types of paid absence or severance pay also benefit from a privilege, as prescribed by this provision of the Convention. The Committee requests the Government to provide further information on the nature of the wage claims protected by a privilege.
Article 7. Limitations. The Committee notes that, under section 268 of the Labour Code, wage claims enjoy preferential treatment over the employer’s movable and immovable assets, with the only limitation being the five-year time limit provided for by section 270 of the Labour Code. The Committee requests the Government to specify whether the extent of the privilege of workers’ claims is also limited to a prescribed amount and, if so, to provide any useful information on this subject.
Part IV of the report form. Practical application. The Committee requests the Government to provide general information on the application of the Convention in practice, including information on the number of bankruptcy or insolvency proceedings initiated per year and the total amount of the wage claims recovered by means of a privilege in these cases.

CMNT_TITLE

The Committee notes that the Government’s report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:

Repetition
Article 1(1) and (2) of the Convention. Definition of the term “insolvency”. The Committee notes that, in its last report, the Government confines itself to indicating that the term “insolvency” refers to the bankruptcy of the enterprise and the inability of the employer to pay its debts in respect of its workers, without referring to a legal text. The Committee requests the Government to specify whether the term “insolvency” is defined legally and, if so, to provide a copy of the relevant text.
Article 1(3). Employer’s assets. The Committee notes that section 268 of the Labour Code only provides that wage claims enjoy preferential treatment over the employer’s movable and immovable property, without giving any other details. The Committee requests the Government to indicate the scope of the employer’s responsibility in the event of insolvency (for example whether or not responsibility extends to his or her personal goods, whether certain goods may not be seized, etc.).
Article 2. Method of application of the Convention. The Committee requests the Government to indicate whether, in addition to the Labour Code, other legislative texts, such as the Bankruptcy Act or the Companies Act, contain provisions relating to the application of the Convention and, if so, to provide a copy of these texts.
Article 6. Protected claims. The Committee notes that the Labour Code does not specify the number of months for which wages are protected by a privilege, nor whether claims for holiday pay, other types of paid absence or severance pay also benefit from a privilege, as prescribed by this provision of the Convention. The Committee requests the Government to provide further information on the nature of the wage claims protected by a privilege.
Article 7. Limitations. The Committee notes that, under section 268 of the Labour Code, wage claims enjoy preferential treatment over the employer’s movable and immovable assets, with the only limitation being the five-year time limit provided for by section 270 of the Labour Code. The Committee requests the Government to specify whether the extent of the privilege of workers’ claims is also limited to a prescribed amount and, if so, to provide any useful information on this subject.
Part IV of the report form. Practical application. The Committee requests the Government to provide general information on the application of the Convention in practice, including information on the number of bankruptcy or insolvency proceedings initiated per year and the total amount of the wage claims recovered by means of a privilege in these cases.

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The Committee notes the Government’s brief report and requests additional information on the following points.

Article 1, paragraphs 1 and 2, of the Convention. Definition of the term “insolvency”. The Committee notes that, in its report, the Government confines itself to indicating that the term “insolvency” refers to the bankruptcy of the enterprise and the inability of the employer to pay its debts in respect of its workers, without referring to a legal text. The Committee requests the Government to specify whether the term “insolvency” is defined legally and, if so, to provide a copy of the relevant text.

Article 1, paragraph 3. Employer’s assets. The Committee notes that section 268 of the Labour Code only provides that wage claims enjoy preferential treatment over the employer’s movable and immovable property, without giving any other details. The Committee requests the Government to indicate the scope of the employer’s responsibility in the event of insolvency (for example whether or not responsibility extends to his or her personal goods, whether certain goods may not be seized, etc.).

Article 2. Method of application of the Convention. The Committee requests the Government to indicate whether, in addition to the Labour Code, other legislative texts, such as the Bankruptcy Act or the Companies Act, contain provisions relating to the application of the Convention and, if so, to provide a copy of these texts.

Article 6. Protected claims. The Committee notes that the Labour Code does not specify the number of months for which wages are protected by a privilege, nor whether claims for holiday pay, other types of paid absence or severance pay also benefit from a privilege, as prescribed by this provision of the Convention. The Committee requests the Government to provide further information on the nature of the wage claims protected by a privilege.

Article 7. Limitations. The Committee notes that, under section 268 of the Labour Code, wage claims enjoy preferential treatment over the employer’s movable and immovable assets, with the only limitation being the five-year time limit provided for by section 270 of the Labour Code. The Committee requests the Government to specify whether the extent of the privilege of workers’ claims is also limited to a prescribed amount and, if so, to provide any useful information on this subject.

Part IV of the report form. The Committee requests the Government to provide general information on the application of the Convention in practice, including information on the number of bankruptcy or insolvency proceedings initiated per year and the total amount of the wage claims recovered by means of a privilege in these cases.

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The Committee notes the Government’s first report, which refers to the Labour Code, Act No. 038/PR/96 in general and to section 266 in particular as guaranteeing the protection of workers’ claims in the event of the insolvency of their employer. In this connection, the Committee would like to point out that the report does not include detailed information on the measures which give effect to the Convention nor does it reply to all the questions appearing in the report form adopted by the Governing Body of the ILO. The Committee therefore attaches an additional copy of this report form and requests the Government to provide full particulars on the application of each substantive clause of the Convention in law and practice for examination by the Committee at its next meeting.