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 Reforms to Address Corporate Misuse of the Fair Entitlements Guarantee Scheme

Under the Fair Entitlements Guarantee (FEG) scheme, the Australian Government provides financial assistance for certain unpaid employee entitlements to eligible employees who have lost their jobs due to the insolvency of their employers. It is a scheme of last resort to support redundant workers.

Costs of the FEG scheme have been increasing in part due to the adoption of certain practices by select employers and parties associated with them, resulting in cost shifting to the scheme and through it, to taxpayers.

To address these issues and ensure the FEG scheme remains viable, the Government is consulting on options for targeted law reform to address corporate misuse of the FEG scheme and to improve the recovery of FEG payments.

The Government released a consultation paper on 17 May 2017.

This consultation process has now been completed

Public submissions to the consultation paper are available from the Department of the Treasury's website.

On 5 October 2017, the Government announced it would introduce new laws to prevent corporate misuse of the Government's Fair Entitlements Guarantee (FEG) scheme. The joint media release of Minister Cash and Minister O'Dwyer which outlines the Government reforms can be accessed on the Minister's Media Centre website.

Stakeholder roundtable consultations

Stakeholder roundtables to discuss the law reform proposals in the consultation paper were held in Sydney and Melbourne on the following dates and times:

Date Location Time

Wednesday, 21 June 2017


9:30 am – 11:30 am
1:30 pm – 3:30 pm

Thursday, 6 July 2017


9:30 am – 11:30 am
1:30 pm – 3:30 pm