The Civil Court in the Maldives has ordered Mega Maldives Air (Malé) to reimburse 25 employees for salary cuts to which these workers had agreed under the condition that they will be reimbursed once a new investor injects capital, Sun.mv has reported. Due to the lack of such an investor, Mega entered into liquidation in late February 2018.
Prior to the liquidation of the company, employees had agreed to take 20% salary cuts to lower the financial burden on the struggling company. However, they had been promised that they will receive a compensation and will have their salaries restored to the previous level after an investor comes in.
In the light of the company's bankruptcy, a total of 40 employees filed lawsuits asking for reimbursement of the 20% salary cut. So far, the Civil Court has ruled in 25 cases in favour of the workers with the remaining 15 cases due to be heard shortly.
Each employee will be reimbursed between USD1,500 and USD1,600, meaning that the total potential burden on Mega could amount to well over USD50,000.
