News
Wrongful dismissal: the employee of a company gone bankrupt is entitled to compensation
- 12/03/2018
The Court of Cassation, with Judgment no. 522 of 11th January 2018, has stated that, after a company has gone bankrupt, an employee’s contract of employment is suspended until the “Curatore” decides whether it continues or is terminated.
If the contract is finally terminated, the “Curatore” is nevertheless required to strictly abide by the provisions on the protection of workers. If the dismissal is judged unlawful, the employee is then entitled to compensation for damages suffered.
Those damages correspond to the salaries from the date of the wrongful dismissal (not from the date when the company was declared bankrupt) to the date of the reinstatement of the employee, where, such in the case at issue, the activity of the undertaking is not ceased.
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