The Fair Entitlement Guarantee Bill 2012 will replace the GEERS system, which currently supports employees who are owed entitlements after their employment has ended due to the liquidation or bankruptcy of their employer.
The new scheme will provide a monetary "advance" to employees where the end of their employment is linked to the insolvency or bankruptcy of their former employer or where their employment is affected by a deed of company arrangement.
The amount of the "advance" will be based on the employee's unpaid entitlements to accrued but untaken annual leave and long service leave, payment in lieu of notice (capped at 5 weeks' pay), redundancy/severance payment (capped at 4 weeks' pay for each year of service) and wages (capped at 13 weeks' pay).
In addition to having the right to seek an internal Department of Education, Employment and Workplace Relations review if entitlements under the scheme are disputed, employees will now also be able to challenge those internal review decisions in the Administrative Appeals Tribunal.
Please contact your local Hunt & Hunt team if you have any questions about how these important legislative changes may impact you.scheme (GEERS) with an equivalent legislative scheme and to extend transfer of business protections to state public servants.
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