Employees of liquidated companies stand to receive $150 million through the General Employee Entitlements and Redundancy Scheme (GEERS) if the Federal Government manages to push extra funding through parliament. Initially budgeted at $80 million, the scheme will require almost double the amount to cope with the increase in redundancies.
Minister for Workplace Relations Julia Gillard emphasises that companies are still obliged to pay out entitlements, but the government can assist others for whom there is no recourse. “We know that Australians are being made redundant and if they are being made redundant without proper payment of their entitlements, then this fund is there to assist,” she said.
Around $50 million in funds will cover the entitlements of ABC Learning workers, following the company’s capitulation.
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