Direct Request (CEACR) - adopted 2008, published 98th ILC session (2009)

The Committee notes the information provided by the Government concerning the latest legislative amendments to the Labour Code (Act No. 311/2001 Coll.) and Act No. 461/2003 Coll. on social security bearing on the protection of employees’ claims in the event of the employer’s insolvency.

Articles 6 and 7 of the Convention. Wage claims as privileged debts. The Committee notes that Act No. 328/1991 Coll. on bankruptcy and settlement, which previously gave effect to the requirements of Part II of the Convention, has been repealed by Act No. 7/2005 Coll. on bankruptcy and restructuring. The Committee requests the Government to provide detailed particulars on any substantive changes introduced by the new legislation, in particular as regards the coverage and limits of the privileged treatment of workers’ wage claims in bankruptcy proceedings.

Article 3(2) and Part III. Protection by a guarantee institution. The Committee notes that, under sections 102 and 103 of Act No. 461/2003 Coll. on social security, as amended, the guarantee insurance benefit covers a maximum service period of three months or an amount not exceeding three times one-twelfth of the general assessment base applicable on the date on which the employer became insolvent. It also notes that the scope of employment-related claims protected by the guarantee insurance extends beyond the minimum entitlements specified in Article 12 of the Convention. Noting that the Convention appears to be implemented in its entirety both in law and practice, the Committee once again recalls that the Government which at the time of ratification accepted only Part II of the Convention dealing with protection of workers’ claims by means of a privilege may now extend its acceptance to Part III of the Convention dealing with protection through a guarantee institution. The Committee accordingly requests the Government to keep the Office informed of any decision taken or envisaged in this regard.

Part IV of the report form. The Committee notes that, according to the latest statistics available, in 2006 guarantee insurance benefits were paid to 217 beneficiaries representing a total amount of 77.5 million korunas (approximately 2.3 million euros). The Committee would appreciate if the Government could continue to supply detailed information on the operation, financing and management of the guarantee insurance system, including for instance the current rate of the employers’ compulsory contribution, statistics on the number of applications received, claims settled and sums paid per year, etc.