Protecting Employee Entitlements

Kevin Davis and Geoff Burrows

Australian Economic Review, 2003, vol. 36, issue 2, 173-180

Abstract: Corporate failure exposes employees to the possible loss of sums due as deferred benefits such as arise from annual leave entitlements. Through such deferred benefits, employees are significant, often involuntary, providers of working capital to their employer. They are not necessarily adequately compensated for the risk involved, nor able to influence corporate governance in the ways available to other creditors. These issues have been largely neglected in the debate to date, and they provide the focus for an evaluation of alternative policies which have been proposed (or implemented) for protecting employee entitlements.

Date: 2003
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