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Direct Request (CEACR) - adopted 2006, published 96th ILC session (2007)

Protection of Workers' Claims (Employer's Insolvency) Convention, 1992 (No. 173) - Australia (Ratification: 1994)

Other comments on C173

Direct Request
  1. 2011
  2. 2006
  3. 2003
  4. 1997
Replies received to the issues raised in a direct request which do not give rise to further comments
  1. 2019

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The Committee notes the information contained in the Government’s report, in particular the latest developments concerning the operation of the various safety net schemes. It notes that the Employee Entitlements Support Scheme (EESS) was closed on 3 August 2005. It also notes that the air passenger ticket levy under the Special Employee Entitlements Scheme for Ansett group employees (SEESA) ceased to be collected on 30 June 2003, and therefore SEESA payments are expected to come progressively to an end. As regards the General Employee Entitlements and Redundancy Scheme (GEERS), the Committee notes that changes were introduced in November 2005 mainly in terms of improving the access to the scheme and enhancing the eligible entitlements available under the scheme.

Article 3, paragraph 2, of the Convention. The Committee notes the Government’s indication that the acceptance of Part III of the Convention is not envisaged at present. It asks the Government to keep it informed of any developments made in this regard.

Article 7, paragraph 1. The Committee notes the explanation by the Government that the maximum amount distributed in a bankrupt estate to an employee under section 109(1)(e) of the Bankruptcy Act, 1966, currently set at A$3,550, is considered socially acceptable since it covers only claims for unpaid wages. In contrast, the GEERS offers broader coverage, including entitlements for annual leave, long service leave and eight-weeks’ redundancy pay, hence the much higher monetary cap.

Part IV of the report form. The Committee notes the statistical information provided by the Government concerning the number of claims processed in the past year under the GEERS and the total amount of assistance provided since the introduction of the employee entitlement schemes in 2000. It would thank the Government if it continued supplying information on these matters.

Finally, the Committee notes that a major labour legislation reform, the Work Choices Act, has come into effect on 27 March 2006. It requests the Government to explain whether the new workplace relations system has any implications on the scope, content and operation of employee entitlement schemes, and, if so, to provide full particulars on the new arrangements.

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