First surveys

Insolvency administrator expects KTM to continue

Following the insolvency of motorcycle manufacturer KTM, the works meetings at the factories began today, Monday. A 14-strong team from the insolvency department of the Upper Austrian Chamber of Labor is on site at the plants in Mattighofen and Munderfing. According to initial surveys by the restructuring administrator Peter Vogl, operations are expected to continue.

Around 3600 employees are affected by the bankruptcy. Works meetings are planned until Wednesday at the three affected companies KTM AG, KTM Components GmbH and KTM Forschungs & Entwicklungs GmbH, which are timed to coincide with shifts and working hours.

The employees will be informed about what a restructuring procedure with self-administration means, that their employment contracts are not terminated and "who pays what money", explained Karoline Neumüller, head of the insolvency department at the Chamber of Labor.

AK submits applications for employees
The November salary and Christmas bonus are to be paid from the insolvency pay fund, while KTM plans to pay out the December wages this week. The task of the Chamber of Labor (AK) is to calculate and apply for claims from the insolvency pay fund for each individual employee. The applications are sent to the fund and the regional court, which forwards them to the three insolvency administrators of the companies. They then check the applications for accuracy.

"If the insolvency administrator and the Insolvency Compensation Fund give their approval, we are well on schedule," said Neumüller, adding that it can take up to six weeks before the money is paid out. This means that a good part of the work of the interest group has been done. As soon as notices of termination are issued, they have to be processed and termination claims checked.

Upper Austria also wants to help
The state of Upper Austria also wants to work out support options in a round table with social partners and the Public Employment Service Austria (AMS), as announced by state governor Thomas Stelzer (ÖVP) on Friday evening. A specific date has not yet been announced.