English to French Other Human Resources

Deter strategic behaviour on the part of employers (i.e. the “moral hazard”) who may forego paying wages in the period leading to bankruptcy on the understanding that payment would be forthcoming from the WEPP. The deterrent is provided through s. 36(1)(b) and 36(2), which allow the Government to assume the rights of unpaid employees against the directors of insolvent companies under existing provisions in labour and corporate statutes.