Falcondo workers to receive labor benefits via Fonper

The Dominican Republic's Executive Power has authorized the payment of labor benefits to former workers and pensioners of Falconbridge Dominicana (Falcondo) through the Fondo Patrimonial de las Empresas Reformadas (Fonper).

Under Decree 671-26, the president of Fonper has been granted special powers to manage these payments, which must be individually verified and recognized. The decree also allows Fonper to seek agreements for the liquidation of rights for pensioners and to act as a subrogated creditor. This means the state can recover the advanced funds from Falcondo during its ongoing restructuring or judicial liquidation process.

Additionally, the Restructuring and Liquidation Court of Santiago has authorized this mechanism to allow former employees to receive their dues without waiting for the conclusion of the company's insolvency proceedings. Payments will be made once the Ministry of Labor has determined and approved the specific labor claims. The court noted that Falcondo possesses movable and immovable assets that could be used to recover the funds advanced by the state.