Crisis Eruption: 260 Migrant Workers Demand Wages, Enterprise on the Brink of Collapse

A small and medium-sized construction enterprise has fallen into an unprecedented survival crisis due to project suspension. Wages for 260 migrant workers have been in arrears for months, with the total amount of unpaid wages reaching as high as 3.2 million yuan. As emotions intensified, a collective wage protest erupted — workers besieged the project department, blocked traffic, and pulled banners to defend their rights, and the situation escalated rapidly.

More critically, the enterprise's accounts have been frozen by the court, and all business activities have come to a complete standstill. If the crisis cannot be resolved in the short term, the enterprise will face not only administrative penalties and reputational collapse, but also complete bankruptcy liquidation. The livelihoods of 260 families are closely tied to the fate of the enterprise.

Emergency Response: Building a Platform in 72 Hours to Resolve the Urgent Crisis

At the first moment of the crisis outbreak, the labor law team of our firm quickly intervened. The team established an emergency strategy of "stabilizing first, then resolving; addressing both symptoms and root causes", striving to calm the situation and resolve conflicts in the shortest possible time.

Building a Multi-party Communication Platform

The team coordinated multiple parties including the construction unit, subcontractors, migrant worker representatives, and labor supervision departments at the first time to build a formal communication platform. Through face-to-face dialogue, confrontational emotions were guided onto the track of rational negotiation.

Batch Discussions and One-by-One Verification

The team held batch discussions with 260 migrant workers and verified attendance records and wage standards one by one to ensure the accuracy of the unpaid wage data. After continuous hard work, the total amount of unpaid wages was finally confirmed to be 3.2 million yuan, laying a foundation for subsequent repayment.

Fund Breakthrough: 1.8 Million Yuan Progress Payment in Advance, Combined Plan as Safeguard

Confirming the unpaid wage data was only the first step; the real challenge was: where would the money come from?

Coordinating the Employer to Make Advance Payment

Giving full play to its professional legal advantages, the team conducted multiple rounds of negotiations with the project employer, clarifying the impact of the wage arrears incident on the overall progress of the project and the survival of the enterprise. Eventually, it successfully coordinated the employer to make an advance payment of 1.8 million yuan in project progress payment, providing key funds for wage repayment.

Combined Payment Plan of "Cash + Acceptance Bill"

For the remaining funding gap of 1.4 million yuan, the team innovatively designed a combined payment plan of "cash + acceptance bill":

• Cash Part: Prioritize the payment of migrant workers' wages to ensure that the most urgent part is in place at the first time
• Acceptance Bill: For the amount that cannot be settled temporarily, issue a compliant acceptance bill with a clear payment deadline

Installment Payment Agreement + Notarization

For part of the payment that really needs to be made in installments, the team drafted an "Installment Payment Agreement", clarifying the repayment plan and liability for breach of contract, and conducted notarization to enhance the legal binding force of the agreement. This arrangement not only protected the legitimate rights and interests of migrant workers, but also bought breathing space for the enterprise.

Post-Crisis Reconstruction: From Emergency Response to Institutional Upgrading

After the crisis subsided, what the enterprise needed was not only relief, but also to put an end to similar problems from the institutional level. The team of our firm assisted the enterprise in systematically building a long-term mechanism for migrant workers' wage payment:

Special Wage Account Management System

In accordance with the requirements of the "Regulations on Ensuring the Payment of Migrant Workers' Wages", assist the enterprise in establishing a special account system for migrant workers' wages:

• Special Account Storage: Separate account management of project funds and wage funds to ensure that wage funds are earmarked for their intended purpose
• Fund Guarantee: The construction unit allocates wage funds to the special account in proportion to ensure the source of funds from the source

"Real-Name Attendance + Bank Proxy Payment" Model

Implement real-name attendance management, where all migrant workers' real-name registration, attendance records, and wage calculation are in one-to-one correspondence. Wages are directly paid to personal accounts by banks, completely eliminating the risk of wage withholding and embezzlement by foremen.

Wage Payment Early Warning System

Innovatively develop a wage payment early warning system with an automatic alarm function when funds are insufficient:

• Threshold Setting: Automatically trigger an early warning when the balance of the special account is lower than the wages payable next month
• Hierarchical Response: Early warning information is simultaneously pushed to the project manager, financial person in charge, and corporate legal counsel

• Rapid Disposal: Ensure that fund problems are detected and resolved before they break out

Capacity Improvement: 5 Training Sessions + 80 Person-Times Coverage + Risk Manual

The vitality of a system lies in its implementation. The team simultaneously carried out systematic capacity building:

5 Special Training Sessions on Labor Employment

• Project Manager Special Session: Employment risks and prevention in project management
• Team Leader Special Session: Standardization of team employment and attendance management
• Financial Personnel Special Session: Wage calculation and special account management operations
• Legal Specialist Special Session: Prevention and response to labor disputes