keep The Employment Rights Act 1996 and Pension Schemes Act 1993 (Amendment) Regulations 2017
These Regulations amend the Employment Rights Act 1996 and Pension Schemes Act 1993 to expand employee protections when employers become insolvent. They add new subsections (8A-8C, 4A-4C, 2A-2C) specifying conditions for claims against the National Insurance Fund when collective insolvency proceedings are opened under EU member State law, including requirements that: a request for proceedings is made based on insolvency involving asset divestment and liquidator appointment, and the competent authority has decided to open proceedings or established the business is closed with insufficient assets. Employees may only claim if they worked or habitually worked in Great Britain (or England/Wales/Scotland for s183 amendments).
While these amendments expand government-backed payment obligations, they address a genuine gap in worker protection for cross-border insolvency scenarios. Without them, UK-based employees of foreign companies operating in the UK (or UK companies with EU operations) facing insolvency could lose earned wages with no recourse. The geographic restrictions and requirement that employees actually worked in the jurisdiction prevent abuse. Deleting would leave workers significantly worse off in legitimate insolvency situations, and the amendments represent targeted corrections to close specific gaps rather than broad regulatory expansion.