Recovery in the Area of Employee Payments

Recovery of Employee Payments in Cases of Employer Insolvency

The Fund monitors the initiation of insolvency proceedings and de-listings on a daily basis.

A worker whose employment has ceased due to employer insolvency becomes entitled to receive payments under the conditions set out in the Public Guarantee and Maintenance Fund Act of the Republic of Slovenia (ZJSRS).

The claim against the employer is established upon payment under the first paragraph of Article 19 ZJSRS and upon notification to the insolvency trustee or employer that the Fund has entered the claim (subrogation). With this claim transfer, the Fund assumes the position of the worker as creditor vis‑à‑vis the employer or insolvency debtor, up to the amount paid under the entitlement decision.

The Fund must immediately notify the insolvency trustee, the employer, or the competent court about its entry into the worker’s position as creditor and submit relevant documentation as proof.

The Fund must regularly monitor the insolvency procedure for all debtors, including:

• Reviewing basic, supplementary, revised, and final lists of verified claims via notifications from an external service provider or through AJPES.
• If the Fund’s claim is listed as disputed, or data is incorrect, it must prepare a written objection to the basic list of verified claims, including all relevant arguments and evidence.
• After filing the objection, the Fund must track subsequent lists of verified claims to see whether its claim has been accepted, corrected, or remains disputed.
• If the claim is still disputed after objection, the Fund is typically advised to file a lawsuit to confirm the disputed claim.

Throughout the entire insolvency process, the Fund must monitor payments:

• In bankruptcy proceedings, it must continuously track the actions of the insolvency trustee, file appropriate legal remedies, and monitor the conclusion of the bankruptcy.

• In compulsory settlement or simplified compulsory settlement proceedings, which end with a confirmation decision outlining the share, method, and payment deadline for creditors. The Fund must monitor payments until the deadline. If payments are not made on time or are insufficient, the Fund continues recovery proceedings, and unpaid claims are written off according to the confirmation decision with preparation of an internal finance command.

• In liquidation proceedings, it must ensure the completion of essential operations, including full payment of claims.

At the end of the bankruptcy proceedings, the Fund verifies the distributions from the bankruptcy estate. If the Fund did not receive all the payments it had disbursed to workers, it will, based on the final bankruptcy closure decision, prepare all necessary documentation to write off the unrecovered claims.