Management and shareholders would not be personally on the hook for missed payroll in the event of insolvency.
If all the cash evaporated from my company's account, we were forced to declare bankruptcy, that's pretty much game over. The employees would be among other creditors figuring out their turn to pick over the remains. The employees may end up near the top of the list, but they wouldn't get to hold the C-Suite or shareholders accountable on a personal level.
They're contractually obligated to pay their employees, but that contractual obligation rolls up to the company level, not the people who run or own it.
