> What happens at bankruptcy is that the claims on various assets are reassigned. The planes will get sold to someone who reckons they know how to run an airline, and the staff are likewise hired by new businesses.
Alternatively, it would be possible to create a worker cooperative from the failing business. The managers who created the mess would be ousted and the actual employees could decide what to do with the rest.
if the workers want to buy the stock up while it's cheap or bankrupt then why not? The whole point of a bankruptcy is that the company literally is worth less than zero.. Whoever buys it would owe the bank a ton of money and have to pay the bank out of their own pocket until they become profitable. Workers are free to do that, but if no one wants to do that, then the bank steps in and takes ownership.
Alternatively, it would be possible to create a worker cooperative from the failing business. The managers who created the mess would be ousted and the actual employees could decide what to do with the rest.