In a nutshell, an "insolvency situation" arises where a company's liabilities exceed its assets – a company is unable to pay its debts when they fall due. An insolvency situation triggers a significant number of legal considerations and in this month's First Tuesday Q&A the Employment Team at A&L Goodbody answer key questions and highlights legal issues for employers when navigating an insolvency situation.

1. What impact does an employer's insolvency have on the employment relationship?  
2. What happens to employees in a receivership scenario? 
3. What happens to employees in an examinership scenario?
   
4. What happens to employees in a liquidation scenario?  
5. Does an insolvent employer have the same obligations to redundant employees?  
6. What happens to payments owing