Do you run a business? Are you an entrepreneur? Is your company experiencing a crisis? You can use the Wage Guarantee Fund. Today we present the advantages of such a solution. It is undoubtedly a kind of "lifebuoy" that protects against really serious problems. What is the Wage Guarantee Fund? Who can use it?

What is the Wage Guarantee Fund?

The Wage Guarantee Fund allows you to cover outstanding wage claims at the time of bankruptcy of the enterprise. It is worth adding here that the wage claim guarantee system also applies to claims covered by the judicial division of the property of an insolvent deceased person, wage claims, in the case of compulsory liquidation of the employer's activity, and all claims against insurance companies, banks taken under receivership.

Who can use it?

Applies to all activities where the employer (owner) regularly pays employees' social security contributions. The fund mainly concerns:

• people running a business and providing services based on a mandate contract,
• shareholders who own at least 20 percent of the ownership interest in the company. However, this does not apply to persons who can document that they do not have a significant influence on the company's operations.

See also: Employment law in Norway (interview)

What can you receive from the Fund?

Amount received under support program allows you to cover:

• Pay and salaries up to 6 months back,
• A leave equivalent earned in the same year as the date of receipt of the bankruptcy petition with the court and in the preceding year,
• Pension benefits in a maximum of 6 months,
• Compensation obtained for them salary in a maximum of 6 months,
• Interest on outstanding wage claims up to the date of receipt application for the initiation of bankruptcy proceedings to the district court and the costs of debt collection,
• Related costs with submitting an application to initiate bankruptcy proceedings against the employer.

Before you fall into a debt spiral ...

To sum up, it is worth using the Wage Guarantee Fund if your company is located in... difficult situation financial and business. Do not give up! Don't get caught up in the spiral of debt and financial arrears. Have control over transactions and liabilities - both those relating to your company's employees and business partners.

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