Insolvency in Bleiburg: Creditors and employees face an uncertain future!

Insolvency in Bleiburg: Creditors and employees face an uncertain future!

A serious blow for the region: a public notary in Bleiburg is bankrupt. The insolvency affects seven creditors and four employees, who are now in an uncertain situation. How ORF Carinthia reported, the insolvency was triggered by declines in sales as a result of legal changes to nursing recourse between 2017 and 2019 and the subsequent COVID-19 pandemic. In addition, the financial problems were exacerbated by the termination of notary candidates and health problems of the managing director. The restructuring plan submitted provides for a quota of 20 percent, with which claims can be registered immediately.

Consequences for employees

In view of the insolvency, employees face enormous challenges. The loss of their jobs and unpaid salaries could have devastating consequences, such as Legal advisor Germany explained. During insolvency proceedings, employees must register their claims with the insolvency administrator to ensure that their claims are taken into account. During the process, salary claims are usually given priority, meaning employees are theoretically given preferential treatment. However, there is a risk that not all salary claims will be covered if the insolvency assets are insufficient.

In addition, employees' vacation entitlements may also be affected. Open vacation claims are among the claims that must be dealt with in insolvency. But here too, the payout is at risk if the company's financial resources are insufficient. There is the possibility that the Federal Employment Agency will pay insolvency compensation in the event of insolvency, an important support in a critical situation. In view of these uncertainties, the affected employees should explore all legal options in order to best protect their claims and find out about the insolvency process.