Direct Request (CEACR) - adopted 2012, published 102nd ILC session (2013)

Protection of Workers' Claims (Employer's Insolvency) Convention, 1992 (No. 173) - Madagascar (Ratification: 1998)

Other comments on C173

Direct Request

Replies received to the issues raised in a direct request which do not give rise to further comments

2019

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Articles 5 and 6(a) of the Convention. Preferential treatment of wage claims. The Committee notes the information from the Government to the effect that Act No. 2003-042 of 3 September 2004 on collective procedures for the discharge of liabilities and Act No. 2003-041 of 15 July 2004 on securities are still in force. It reminds the Government that in its previous comments it asked the Government to confirm: (i) whether the workers’ privilege established by section 73(2) of the Labour Code for remuneration due to them for the last 60 days of work is a “superprivilege” within the meaning of section 98 of Act No. 2003-042; and (ii) whether section 162(4) of Act No. 2003-041 establishes for employees a general privilege – in addition to the “superprivilege” – for wage claims arising in the year preceding the judicial decision to open collective proceedings. The Committee requests the Government to reply specifically to these two points in its next report.

Article 6(c). Claims in respect of paid absence. The Committee notes that in its report the Government refers to the provisions of the Labour Code that deal with the wages and indemnities to be paid to workers in the event of sickness or maternity. The Committee points out that the Convention sets out specifically to protect workers’ claims in the event of the employer’s insolvency. There, the protection pertains to the right of workers to receive the amounts owed to them by the employer for sick leave or maternity leave, pursuant to the Labour Code, where such amounts were not paid prior to the onset of insolvency. The Committee requests the Government to indicate the measures taken or envisaged to extend to such claims the privilege established in the national legislation for workers in the event of the employer’s insolvency.

Article 7. Capping of the amounts protected. Further to its previous comments, the Committee notes the information from the Government to the effect that no text has been adopted setting a ceiling on the privilege established by section 73 of the Labour Code. The Committee asks the Government to keep the Office informed of any developments in this regard.

Part IV of the report form. Application in practice. The Committee notes that because of the crisis prevailing in the country, many enterprises are in difficulty and many establishments have closed. It nevertheless takes note of the Government’s statement that it is not able to provide statistics for the time being owing to the political and economic instability in the country. The Committee asks the Government to provide, as soon as it is able, more specific information on the application of the Convention in practice, such as data on the number of bankruptcies or the total amount of the workers’ claims that have been settled by means of the statutory privilege.