Effect of Bankruptcy on domestic helper
My cousin is working as a live-in care giver but her employer declared bankruptcy, we’re just wondering if this bankruptcy will affect her employment with them, are they still allowed to pay salaries and make payroll remittances for their caregiver?
An employer can continue to employ domestic help while bankrupt. They can continue to issue paycheques and make source deduction remittances to the government.
However, if they are bankrupt, they may not have the cash flow to do so, so your cousin should confirm with her employer that her paycheques will not be impacted.