State and federal labor laws ensure that employees are fairly compensated for their work. When companies become insolvent, similar protections give wages and benefits a higher priority in bankruptcy over other creditors' claims. But does a bankruptcy judge have the power to switch that order?
Since July 2014, the price of oil has dropped by half. That's good for consumers' pocketbooks, but one segment of the population is facing hard times: U. S. oil industry workers. In the past few years, the boom in oil production meant that companies needed to quickly expand hiring to meet the demand for workers. The rush to hire meant that some companies did not follow wage and hour laws.