When a company files for bankruptcy (either ch.7 or 11) what happens to employees' accrued vacation time ?

Question

When a company files for bankruptcy (either ch.7 or 11) what happens to employees' accrued vacation time ?

Answer 1

It's gone.  The "secured" creditors get what little money there is.  Everyone else gets the experience of having worked for that company. And a few memories.  No vacation time. /

Answer 2

In some cases it is usually dissolved along with pensions health insurance etc etc depending how far in the company is.

Answer 3

Looks like the employees will have a long unpaid vacation. If the company is unable to continue then a lot of benefits will be lost. You should find out if they are trying to reorganize.