(3) During a company’s corporate rescue process, every registered trade union representing any employees of the company, and any employee who is not so represented, is entitled to –
(a) notice, which must be given by standard notice to employees at their workplace, and served at the head office of the relevant trade union, of each Court proceeding, decision, meeting or other relevant event concerning the corporate rescue proceedings;
(b) participate in any Court proceedings arising during the corporate rescue proceedings;
(c) form a committee of employees’ representatives;
(d) be consulted by the practitioner during the development of the corporate rescue plan, and afforded sufficient opportunity to review any such plan and prepare a submission contemplated in section 144(l)(c);
(e) be present and make a submission to the meeting of the holders of voting interests before a vote is taken on any proposed corporate rescue plan, as contemplated in section 144(l)(c);
(f) vote with creditors on a motion to approve a proposed corporate plan, to the extent that the employee is a creditor, as contemplated in subsection (2);
(g) if the proposed corporate rescue plan is rejected, to –
(i) propose the development of an alternative plan, in the manner contemplated in section 145; or
(ii) present an offer to acquire the interests of one or more affected persons, in the manner contemplated in section 145.
(4) A medical scheme, or a pension scheme including a provident scheme, for the benefit of the past or present employees of a company is an unsecured creditor or the company for the purposes of this Part to the extent of –
(a) any amount that was due and payable by the company to the trustees of the scheme at any time before the beginning of the company’s corporate rescue proceedings, and that had not been paid immediately before the beginning of those proceedings; and
(b) in the case of a defined benefit pension scheme, the present value at the commencement of the corporate rescue proceedings of any unfunded liability under that scheme.
(5) The rights set out in this section arc in addition to any other rights arising or accruing in terms of any law, contract, collective agreement, shareholding, security or Court order.
- According to the Insolvency Act [Chapter 6:07]. PART XXIII: Corporate Rescue